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The Dow Jones with the biggest increase since March – Wall Street – Stock Exchange and Finance

When Wall Street closed on Wednesday night, the Dow Jones Index rose 2.5 percent. This is the biggest single increase for the index since 26.mars.

Dow is now 25,257 points.

The recovery came after central bank chief Jerome Powell said earlier that interest rates in the US were now almost neutral. It was understood that Powell said he would slow the rate of increase in interest rates.

Real progress

"Interest rates are still low in the historical context, and they are far below the level of many assessments that indicate what is neutral for the economy. This means that interest rates do not accelerate or slow economic growth, Powell said, according to Marketwatch.

Prior to that, Powell's speech, as held at the Economic Club in New York, was displayed by some American media as the most significant so far.

The statement encouraged the US stock market to stop, and in a few hours a fairly normal trading day was a real boost. In addition to the strong Dow Jones gains, the Nasdaq Composite rose 2.95 percent, and the S & P 500 was 2.30 percent.

Fluctuating harvest

Both the Dow Jones and the S & P 500 are now on a positive front for November, which has been a volatile month on the stock market this fall.

The fall of global stock markets has been linked to interest rates in the US. Rising interest rates and rising borrowing costs can help curb global growth and corporate earnings, although it is still very cheap to borrow.

In addition, the international trade dispute between the United States and especially China has been a source of turmoil in the market.

At the same time, European economic growth has slowed and the International Monetary Fund (IMF) has revised its forecast for global economic growth.

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