US Federal Reserve Chair Jerome Powell hailed a “remarkably positive outlook” for the US economy that he feels is on the verge of a “historically rare” era of ultra low unemployment and tame prices for the foreseeable future.
Italian markets got some respite after a report showed that the government bowed to pressure from the European Union to trim its budget deficit target. Government bonds snapped four days of declines and the euro climbed against other currencies after the Corriere della Sera reported that the government will seek to contain the shortfall at 2 percent in 2021, down from 2.4 percent.
Oil hovered below a four-year peak, easing back from session highs on reports that Russia and Saudi Arabia had struck a private deal in September to raise output. Brent crude prices have hit a low of $83.32.
Chicago Fed President Charles Evans said that inflation data has improved significantly and he is quite comfortable with the prospect of another interest rate hike in December.