• Stocks in Asia were set for a mixed open following hawkish comments by Jerome Powell that helped fuel a third straight drop in the S&P 500 and saw two-year Treasury yields briefly hit 5%.
• Futures for benchmarks in Australia and Hong Kong indicated declines, while those for Japan pointed higher. US yields climbed to fresh 2024 highs as the Federal Reserve chief said it will likely take longer to have confidence on inflation — adding that it’s appropriate to give restrictive policy time to work. The dollar had its best five-day gain since October 2022, while the slide in US stocks from a record deepened.
• Powell’s remarks represented a shift in his message after a key measure of inflation exceeded forecasts for a third straight month. He also signaled the US central bank will likely keep rates on hold for longer than originally planned, according to Jeffrey Roach at LPL Financial.