The New York stock Exchange has ended with no direction on Wednesday while the u.s. central bank remained cautious on the state of the economy of the United States and has planned to keep interest rates near zero until 2022.

read also : United States: the Fed promises zero rates until at least 2022

The Nasdaq, in high coloring technology, has closed for the first time above the symbolic threshold of 10,000 points, taking 0.67% 10.020,35 points. The Dow Jones index star of Wall Street, fell 1.04% to 26.989,99 points and the S&P 500, which represents 500 largest companies listed on the New York, was down 0.53 percent to 3.190,14 points.

investors watched closely on Wednesday the conclusions of a Fed meeting and “what we must remember is that interest rates will stay near zero for some time”, according to Patrick O’hare of Briefing. This perspective is of a nature to excite brokers, low rates allowed companies and investors to borrow easily from the money. The Fed and its chairman, Jerome Powell, has also been cautious in their assessment of the economy, pointing out that millions of Americans were still unemployed. “He seems very aware of the fact that the recovery will perhaps not be as quick as you think the stock market,” said Patrick O’hare.

Fall of the GDP to 6.5%

The Fed table, in this respect, a fall in gross domestic Product american 6.5% this year before a rebound to 5% next year and a growth of 3.5% in 2022. The institution also plans an unemployment rate of 9.3% in 2020 and 6.5% in 2021. “Even though the Fed has said very clearly that it would maintain rates at a low level for a long time, which is good for the liquidity and the price of the shares, it still has a long way before the economy returns to the levels before the pandemic,” said economist Joel Naroff.

Asked about the possibility of a bubble in the markets, Jerome Powell has also ensured that the Fed was not concerned at the level of asset prices but just to the proper functioning of the financial circuits. On the bond market, the rate on 10-year u.s. debt have fallen significantly, to 0,7345% against 0,8253% on Tuesday closing.

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