Mar 17, 2021 AT 08:55PM
US stocks erased earlier losses to close higher on the day with S&P climbing to the highest level on record while Dow tops $33k and close at an all-time high after the Fed said it sees near-zero interest rates at least through 2023 despite rising inflation concerns. The Nasdaq also wiped-out earlier losses of almost 1.5% and ended the day 0.4% higher. Despite the dovish statement, 5yr yields outperformed and the 5s30s yield curve steepened dramatically to a level not seen since 2014. Meanwhile, Fed Chair Jerome Powell said in a press conference that the Fed would need to see a material and sustained move in inflation above 2% before considering changes to its current easy policy stance. Elsewhere, US 10yr yields retreated from its highs of the day from 1.69% to 1.62%. The dollar tumbled versus most major peers with Bloomberg dollar index fell from $1142 to $1135 handle. Commodities all rallied as the dollar retreated with Bitcoin and Silver exploded while Crude ended the day lower.
