Stocks fell by 1.38% in the US and 0.70% outside the US amidst more trade problems.
Fed Chairman Jerome Powell said that future interest rate cuts are possible, but he made it clear that the Fed can only do so much in face of a trade war. “While monetary policy is a powerful tool that works to support consumer spending, business investment, and public confidence, it cannot provide a settled rule book for international trade. “Trade policy uncertainty seems to be playing a role in the global slowdown and in weak manufacturing and capital spending in the United States,” Mr. Powell said, adding that there were “no recent precedents to guide any policy response to the current situation.”
