Fed Reserve Chief Janet Yellen gave testimony to the Joint Economic Committee today, saying, “a high degree of monetary accommodation remains warranted.” She also remarked that higher unemployment rates are “far from satisfactory” and “elevated.” “The monthly Fed bond buying program was reduced by $10B to $45B last week, keeping it on track to end the program later this year. However, this week’s comments from the Fed indicate there is no plan to increase interest rates after the buying ends,” said David Krein, Head of Research, NASDAQ OMX Global Indexes.
INDEX MOVES THIS WEEK
- NASDAQ BIOTECHNOLOGY INDEX (NBI) is down -1.34% since Friday’s close. Year-to-date performance for the index is flat after being up above 20% at the end of February.
- PHLX GOLD/SILVER SECTOR (XAU) was down -2.73% as of noon on Wednesday. The price of gold is currently $1,292 per ounce, down $10 this week.
- PHLX OIL SERVICE SECTOR (OSX) was up 0.68% as of noon on Wednesday. The price per barrel of crude is currently $100.82, up $1 this week.
INDEX TO WATCH
- The price of Kansas Wheat futures has grown 39% since the end of January rising to $8.35. Track the space by monitoring the NASDAQ Commodity Kansas Wheat Index ER (NQCIKWER). The index is up 2.9% this week.