+25 C°
Traffic jam:   2

US indices down

21 May 2021
2 min.
US indices down

US indices

US Fed minutes for the first time hinted at a possible policy tightening reducing bond purchases on the back of economic recovery. However, economists point out that the fall in employment in April has already corrected and the Fed will not change policy until full employment is achieved.

Major US indices fell on Wednesday following the release of April Federal Reserve (Fed) meeting minutes. The S&P 500 index fell 0.29% on Wednesday, the Dow Jones lost 0.48% and the Nasdaq Composite a marginal 0.03%.

Following meetings on 27-28 April, central bank officials led by Chairman Jerome Powell reassured investors that the Fed would not raise rates or reduce the current pace of its $120bn monthly asset purchases until the US economy recovered to pre-pandemic COVID-19 levels and returned to full employment. The Fed's benchmark interest rates were kept at 0%-0.25%.

Market analysts were quick to point out that things have changed since the Fed meetings and today the Fed is still keen to wait for improvements in the labour market before changing policy.

A report from the Labour Department in early May showed that the US economy added a record 266k new jobs for April 2021 compared to 770k in March. This suggests that the US labour market is far from full employment before the pandemic and some analysts believe it will never return to previous levels again.

Also, there is growing concern on Wall Street about inflation, which rose sharply in April to a record 4.2%. However, Fed officials and Treasury Secretary Janet Yellen are not worried about the rising inflationary pressure as they consider it temporary and firmly believe that it is controllable and a response can be made at any time.

The minutes of the Fed meeting in April are based amongst other things on the report of a steep rise in retail sales in March.

US GDP in the first quarter of 2021 recorded an increase by a full 6.4%, economists expect another jump in GDP growth of approx. 10% in the second quarter.

Economists forecast that the number of new jobless claims for the week ending 15 May will be 452,000, slightly down from 473,000 the week before.

Persons2 and Companies4 in the news

Chairman of Federal Reserve Board
1 place
6th Chair of the Federal Reserve
2 place
2 place
Dow Jones
3 place


Rating companies
69 Mention
68 Mention
66 Mention
56 Mention
Dow Jones
53 Mention
50 Mention
36 Mention


News from GlobalNY.biz is the freshest and most relevant information about high-profile events in the region. The task of the resource's news feed is to convey to readers with maximum accuracy and objectivity information about important events in business, politics, economy, healthcare, culture and other spheres of life in New York.
GlobalNY.biz news is a coverage of economic processes taking place in New York, the latest news of public life, incidents and an overview of political events. New York news is information about the activities of small and medium-sized businesses, the work of housing and communal services and utilities, the implementation of significant projects.
The site's journalists describe not only the life of the region, but also talk about the current state of the US economy. Everything you need to know about innovations in the field of industry and agriculture, economy and power is collected in the "News" section at GlobalNY.biz.
New York news quickly informs the reader, shows the real picture and opens up hot topics. Communication with government structures and business enables us to provide our readers with reliable, information-rich material. The main page of the portal contains the key news of New York!
Alena Potapova

Development Director