Romain Fournier

Chief Editor
Having worked in the British, French and Swiss financial press, Romain is able to report on local and international issues, as comfortable in French as in the language of Shakespeare, Romain Fournier leads the editorial team at Marketscreener. Fine connoisseur of the English-speaking markets, Romain delivers an editorial every day on US and UK markets.

UK investors assess Powell’s tough speech

01/27/2022 | 04:43am EDT

Stocks progressed yesterday with value stocks being highly sought after. The energy sector was again the most popular. However, things are getting a bit more difficult today, as the Fed released its monetary policy decision yesterday evening.

It took a more aggressive stance than expected, stating that there is “quite a bit of room” for US rates to rise.

The FTSE 100 index was struggling for direction this morning, trailing the Nasdaq, which gave up an initial 3.5% gain to finish mostly unchanged last night.

As expected, Jerome Powell announced that rates will rise in March. However, he did not rule out future hikes as high as half a percentage point.

Banks - such as Standard Chartered and HSBC - and miners – including Rio Tinto and Glencore - are leading the FTSE today, although Fresnillo is down at the bottom after announcing that the pandemic and the new labor reform in Mexico is hampering its mining operations, and forecast lower gold production for this year.

Things to read today:

Supply chain crisis is the only drag on Apple’s enormous growth (Financial Times)

Fed Interest Rate Decision Tees up March Increase (WSJ)

Market Turmoil is Ultimate Test of What’s Real and What is Not (Bloomberg)

© 2022
Stocks mentioned in the article
ChangeLast1st jan.
AUSTRALIAN DOLLAR / US DOLLAR (AUD/USD) -0.12% 0.697 Delayed Quote.-4.44%
BRITISH POUND / US DOLLAR (GBP/USD) 0.12% 1.23263 Delayed Quote.-9.79%
CANADIAN DOLLAR / US DOLLAR (CAD/USD) 0.12% 0.77795 Delayed Quote.-2.07%
EURO / US DOLLAR (EUR/USD) 0.19% 1.0432 Delayed Quote.-8.42%
FRESNILLO PLC 4.62% 758 Delayed Quote.-15.23%
FTSE 100 0.63% 7464.8 Delayed Quote.0.46%
GLENCORE PLC 3.39% 476.7 Delayed Quote.27.22%
HSBC HOLDINGS PLC -0.57% 497.75 Delayed Quote.11.12%
INDIAN RUPEE / US DOLLAR (INR/USD) -0.46% 0.012852 Delayed Quote.-3.84%
NASDAQ COMP. -0.88% 11662.79 Real-time Quote.-24.54%
NEW ZEALAND DOLLAR / US DOLLAR (NZD/USD) -0.11% 0.63102 Delayed Quote.-8.10%
RIO TINTO PLC 0.36% 5336 Delayed Quote.9.14%
STANDARD CHARTERED PLC 1.07% 587.6 Delayed Quote.31.04%