World Stocks Gain Ahead Of New Fed Chief Comments

Great Wall Motor Company Ltd., China's largest domestic SUV and pickup producer, gained 4.5 percent. Investors were looking ahead to Yellen's appearance Tuesday before Congress for signs of whether the Fed might alter its plans to wind down its stimulus. Rising stock markets suggested some traders think the Fed might postpone another reduction in its monthly bond-buying. But analysts warn that is far from certain. The Fed had been buying $85 billion worth of bonds every month in an effort to stimulate the economy by pushing down commercial lending rates. The Fed said in December it will reduce that by $10 billion each month. That would reduce February's purchases to $65 billion if the Fed sticks to its plan. "We think that the data is not weak enough for the Fed to pause on tapering, but also not strong enough to shift the base case of a modest recovery to a faster paced one," said Mizuho Bank in a report. <br>For the original version including any supplementary images or video, visit http://news.yahoo.com/world-stocks-gain-ahead-fed-chief-comments-085909532--finance.html

World News Update, what you need to know

ELSEWHERE: LONDON - Flooding in Britain has spread along the River Thames and begun to threaten London, as a political row over the handling of devastating winter storms erupted. NEW YORK - The United Nations says an operation to allow civilians to leave besieged districts of the Syrian city of Homs will be extended until Wednesday night. UNITED NATIONS - UN diplomats have resumed the task of trying to persuade Russia to back a new humanitarian resolution on Syria. <br>For the original version including any supplementary images or video, visit http://au.news.yahoo.com/world/a/21392447/world-news-update-what-you-need-to-know/

Unless otherwise stated, the content of this page is licensed under Creative Commons Attribution-ShareAlike 3.0 License