US stocks hit record highs after Fed Chair Powell outlines the central bank's strategy for avoiding future crises
- US stocks extended record highs on Thursday after Federal Reserve Chair Jerome Powell spoke at this year's virtual Jackson Hole symposium.
- Powell outlined the central bank's overhauled strategy for controlling inflation and avoiding future crises.
- On the economic-data front, initial jobless claims came in at 1 million for the week that ended on Saturday, in line with consensus estimates, as the US economy continues to recover from the COVID-19 pandemic.
- Abbott's and Fluidigm's COVID-19 tests both received emergency use authorization from the Food and Drug Administration on Wednesday, boosting hopes that wait times for COVID-19 results will shorten.
- Oil prices traded lower. West Texas Intermediate crude fell as much as 1%, to $42.96 per barrel.
- Watch major indexes update live here.
US stocks extended records on Thursday after Federal Reserve Chair Jerome Powell spoke at this year's virtual Jackson Hole symposium. Both the S&P 500 and the Nasdaq composite indexes set all-time highs shortly after the market open.
Powell outlined the central bank's overhauled strategy for controlling inflation and avoiding future crises. Equity futures turned positive as he spoke and opened higher after an overnight sell-off.
On the economic-data front, initial jobless claims came in at 1 million for the week that ended on Saturday, in line with consensus estimates. Continuing claims, measuring the sum of Americans receiving unemployment benefits, totaled 14.5 million for the week that ended on August 15, a slight decrease from the prior week.
Here's where US indexes stood shortly after the 9:30 a.m. ET market open on Thursday:
- S&P 500: 3,492.98, up 0.4%
- Dow Jones industrial average: 28,556.57, up 0.8% (225 points)
- Nasdaq composite: 11,687.95, up 0.2%
Two companies' COVID-19 tests received emergency use authorization from the Food and Drug Administration on Wednesday. Fluidigm makes a COVID-19 saliva test, a less invasive method than nasal-swab testing. And Abbott says its test will cost $5 and deliver results in 15 minutes.
Spot gold fell as much as 1.1%, to $1,932.22 per ounce. Gold briefly surpassed $2,000 per ounce earlier this month as investors bought the precious metal as an inflation hedge.
Oil prices fell. West Texas Intermediate crude slid as much as 1.3%, to $42.83 per barrel. Brent crude, oil's global benchmark, fell 1.3%, to $45.05, at intraday lows.