The Fed Chair speaks and the markets listen. And Ford is hiking the price of its electric Mustang SUV. Fed Chairman Jerome Powell says bringing down inflation will cause “pain” to households and businesses. That was enough for the markets to tumble.
The Dow fell 1008, or 3%, to close at 32,283.
The S&P lost 141 points.
The Nasdaq fell 497 or 4 percent.
Powell said the word “pain” twice in his short speech during an economic summit in Jackson Hole. He said the path to reducing inflation would not be quick or easy. That has many already thinking The Fed will stay the course of 75-point hikes for the near future.
The Ford Mustang Mach-E just got more expensive. The carmaker says “significant battery cost increases” have driven prices up by $8,500 for some models. A top-end Mach-E now goes for $70,000. Ford is about to re-open “order banks” for the 2023 model year.
Well, it’s been a month… and no one has claimed the huge Mega Millions $1.3 billion lottery jackpot. The winner could still be chatting with a legal and financial team. They have 12 months to cash it in… and it’s a lot of cash. The lump sum payout is $780 million.
From Los Angeles, I’m Brian Martin with your BEONDTV After the Bell report.