US Stocks Erase Losses
US stocks swung higher Thursday (20/3), extending yesterday's gains as markets continued to assess the shape of the economy amid risks from tariffs and lower spending by the US government. The three main averages were around 0.3% higher. Equities had already risen sharply in the prior session after the Federal Reserve held rates unchanged, as expected.
Chairman Powell downplayed concerns that tariffs by President Trump could reignite inflation by calling its impact transitory but FOMC projections showed downward revisions to growth and higher unemployment, driving markets to price three rate cuts by the Fed this year. These contrast slightly with FOMC projections of two rate cuts following yesterday's update. Meta was among the top gainers with a 2.7% jump, while Eli Lilly, Nvidia, and Amazon were more than 1% up. On the other hand, US-listed PDD stocks traded in the red after the company missed sales targets. Micron and Nike were due to report results after the bell.
Source: Trading Economics