Daily Recap: Fed Holds | Stocks Climb | REITs Dip
Coming off two straight days of modest declines, US equity markets climbed after Federal Reserve Chair Jay Powell set a "dovish" tone in the press conference following the Board's decision to keep short-term rates steady. The S&P 500 ETF (SPY) gained 0.3% on the day while the Nasdaq ETF (QQQ) climbed by 0.5%, each erasing essentially all of this week's losses. CPI inflation data this morning continued to reflect muted inflationary pressure, helping to send the 10-Year Treasury Yield (IEF) lower by 4 basis points to close at 1.79%. Despite the tick lower in yields, the broad-based Real Estate ETF (VNQ) declined by 1.0% on the day, dragged down by continued weakness in the retail REIT.