2/12, 10:00 PM (Source: TeleTrader)
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US markets close higher after Powell, Mnuchin testimonies

United States markets closed higher on Wednesday after Federal Reserve Chairman Jerome Powell came back for his second day of testimony on the economy and monetary policy regulation. He stated that the United States will probably need quantitative easing as well as forward guidance which means the rates will be kept low. United States Treasury Secretary Steven Mnuchin also testified on Capitol Hill on US President Donald Trump's proposed budget for 2021. He said he believes tax cuts will pay for themselves in 10 years' time.

Meanwhile, San Francisco Federal Reserve President Mary Daly said that the United States economy is prepared to overcome any potential difficulties thanks to Fed's policy action from last year. President of the Federal Reserve Bank of Philadelphia and voting member of the Federal Open Market Committee (FOMC) Patrick Harker noted that the economy of the United States is in "good shape."

All three indexes closed on record highs. The Dow Jones jumped 0.94% at the close as UnitedHealth Group Inc shares climbed 4.37%. The Nasdaq 100 rose 1% at the end with CoStar Group shares rocketing 10.75%. The S&P 500 increased by 0.66% at the closing bell as the Interpublic Group of Companies Inc. led the gains with a 7.48% growth.

The euro traded flat against the dollar, changing hands for 1.0874 at 4:03 pm ET.

Breaking the News / TF