Shares of power producers fell, but not by as much as the broad market, as traders sought out defensive sectors in light of market volatility. Expectations for a hawkish statement from Federal Reserve Chairman Jerome Powell at an event in Jackson Hole, Wyo., are weighing on risk appetite, strategists said.
"We expect the Fed to push back against any notion of a quick pivot to rate cuts," said economists at brokerage Bank of America Securities, in a note to clients.
"If the outlook for monetary policy in the prior cycle could be described as 'lower for longer,' the current message could very well be described as 'higher for longer.'"
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
08-19-22 1713ET
