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Federal Reserve chairman Jerome Powell gave investors reason to cheer on Wednesday when he suggested that the Fed may slow down its interest rate hikes.The Dow surged on the news and closed up 600 points, or more than 2%, in midday trading. The S&P 500 and Nasdaq each rose about 2% as well.Powell reassured investors that the Fed wouldn't risk killing off economic growth by continuing to aggressively raise rates next year."Our gradual pace of raising interest rates has been an exercise in balancing risks," Powell said during a speech at the Economic Club of New York. "We know that moving too fast would risk shortening the expansion. We also know that moving too slowly -- keeping interest rates too low for too long -- could risk other distortions in the form of higher inflation."Powell noted that rates remain relatively low and that they are just below what many economists consider "neutral for the economy -- that is, neither speeding up nor slowing down growth."Investors seemed to interpret Powell's comments as a sign that the Fed, which is widely expected to raise rates again at a meeting next month, may now only hike rates once or maybe twice at most in 2019 as opposed to earlier forecasts of three or four hikes.The Dow's most cyclical stocks were among the biggest gainers. Shares of Boeing (BA), Caterpillar (CAT), Microsoft (MSFT) and Apple (AAPL) helping to lead the rally.In fact, only four Dow stocks -- Verizon (VZ), United Technologies (UTX), DowDupont (DWDP) and Procter & Gamble (PG) -- were trading lower Wednesday afternoon.Matthew Cheslock, a trader at Virtu Financial, told CNNMoney editor-at-large Richard Quest on "Markets Now" Wednesday that the market interpreted Powell's comments as meaning that we are "closer to normal rates. I think that was what really sparked the market to go higher."Cheslock added that some of Powell's remarks about the market not being in a bubble were reassuring as well.Powell's comments may assuage concerns about the Fed possibly going too far with rate increases, a criticism leveled by President Donald Trump.But Tobias Levkovich, Citigroup chief US equity strategist, told Quest that the market may be overreacting."I'm not dancing or partying right at the moment," he said, adding that the Fed has talked about gradual rate hikes "for a very long time." "Maybe [the markets] were just worried it would be worse," Levkovich said.To that end, Trump, who chose Powell to replace former Fed chief Janet Yellen, has often bashed him and the Fed on Twitter and in interviews for the rate hikes.In fact, Trump attacked Powell again in a Washington Post interview Tuesday, saying he was "not even a little bit happy" with Powell and that the Fed was making a mistake with so many rate hikes.Trump even added that sometimes decisions he makes with his "gut" matter more than what other people's brains tell him.Whether or not investors were using their guts or brains when deciding to jump back into stocks Wednesday remains to be seen. But it's clear that the bulls were back in charge on Wednesday."Markets Now" streams live from the New York Stock Exchange every Wednesday at 12:45 p.m. ET. Hosted by Quest and CNNMoney's business correspondents, the 15-minute program features incisive commentary from experts.You can watch "Markets Now" at CNNMoney.com/MarketsNow from your desk or on your phone or tablet. If you can't catch the show live, check out highlights online and through the Markets Now newsletter, delivered to your inbox every afternoon.The-CNN-Wire 3545
Following Emergency Use Authorization by the FDA and a formal recommendation from the Centers for Disease Control and Prevention (CDC) over the weekend, the first Americans began receiving Pfizer's COVID-19 vaccine on Monday.As the sun rose on the east coast, medical professionals began distributing vaccines to patients who had lined up for an initial dose.In New York, Gov. Andrew Cuomo was there to witness the first injection in his state. According to Scripps station WPIX in New York City, the first person to receive the vaccine in the state was Sandra Lindsay, a nurse who works at Long Island Jewish Medical Center.Kentucky Gov. Andy Beshear was also on hand to see the first injections in his commonwealth.At 2:30 p.m. ET in Washington, D.C., Health and Human Services Director Alex Azar and Surgeon General Jerome Adams will be on hand to witness as health care workers at George Washington University Hospital will be among the first to receive the vaccine.The first injections of the vaccine came the same day that the U.S. is expected to surpass 300,000 COVID-19 deaths. As of Monday morning, Johns Hopkins reports that the U.S. had total 299,000 deaths; the country has seen more than 2,000 deaths a day in recent weeks.On Friday night, the FDA made the much-anticipated move to approve Pfizer's COVID-19 vaccine candidate for Emergency Use. The move allows the U.S. to begin inoculating Americans against COVID-19, which is currently spreading and killing at rates not yet seen during the pandemic.The FDA prompted Pfizer to begin shipping the first doses of the vaccine nationwide. On Sunday, the CDC issued a recommendation for the vaccine, giving health care professionals to start distributing shots to those that want them.Pfizer's vaccine requires two doses, which need to be taken 21 days apart. Everyone who receives an initial dose on Monday will need to return next month to complete the process.Pfizer's development of a COVID-19 vaccine — which studies have shown to be 95% effective in preventing the virus — in under a year is nothing short of a medical miracle. The previous speed record for vaccine development occurred in the 1960s when researchers developed a vaccine for the mumps in just four years.However, plenty of obstacles remain for the U.S. amid the pandemic. Anywhere from about 30% to 50% of Americans have expressed skepticism in getting a COVID-19. Health care experts suspect that about 70% of Americans would need COVID-19 antibodies in order to reach herd immunity.A COVID-19 vaccine developed by Moderna is expected to be granted Emergency Use Authorization later this week, and health care professionals could begin distributing that vaccine as soon as next week.An earlier version of this story mistakenly stated that the two doses of Pfizer's vaccine needed to be taken 28 days apart. 2847

FORT WORTH, Texas — The Boeing 737 Max might be flying over the East Coast before year end.All Max jets around the world have been grounded since early 2019 after two deadly crashes.American Airlines says it plans to operate one Max flight a day from Dec. 29 through Jan. 4 between Miami and New York. American is still considering how much it will use the plane after that.The airline says it will begin selling the flights on Friday.Federal regulators are currently reviewing Boeing's changes to the plane. In all, 346 people died in crashes of Max jets in Indonesia and Ethiopia. 590
Former Fox News anchor Shepard Smith has a new landing spot after leaving the network abruptly last fall. CNBC announced that Smith will join the network and host a 7 p.m. newscast.“The News with Shepard Smith” will launch this fall, and CNBC said that Smith will also serve as the network's chief general news anchor and managing editor of the breaking news division.“I am honored to continue to pursue the truth, both for CNBC’s loyal viewers and for those who have been following my reporting for decades in good times and in bad,” Smith said in a press release.Smith was one of FOX News' original hires when the network launched in 1996. Smith hosted "Shepard Smith Reporting" starting in 2013, and before that, was the anchor of "Studio B."CNBC, which is more geared toward financial news, said it will use Smith’s program beyond financial news.“Much like our coverage of the coronavirus pandemic, CNBC reporters and producers can go beyond the financial markets to tell rich, deeply-reported stories across the entire landscape of global news. Each evening, Shep’s program will be the place where we’ll deliver that same credible coverage of the key issues of the day,” said Dan Colarusso, Senior Vice President, CNBC Business News. 1247
Former FBI Deputy Director Andrew McCabe was set to officially retire on March 18, but according to a source familiar with the matter, he could be fired just days before and lose his pension after a more than two-decade career at the bureau.The embattled official abruptly stepped down at the end of January and has been on leave since that time.CNN has learned the FBI's Office of Professional Responsibility has recommended McCabe be fired and now the decision is up to Attorney General Jeff Sessions.The issue stems from findings in an internal Justice Department watchdog report that claims he misled investigators about his decision to authorize FBI officials to speak to the media about an investigation into the Clinton Foundation.A representative for McCabe declined to comment.That report, which has been complete for over a week, according to the source, has not been released publicly. The office is currently examining how investigations were handled at the department and the FBI in advance of the 2016 presidential election, including, notably, the Hillary Clinton email server probe."The Department follows a prescribed process by which an employee may be terminated. That process includes recommendations from career employees and no termination decision is final until the conclusion of that process. We have no personnel announcements at this time," Justice Department spokeswoman Sarah Isgur Flores said in a statement.The inspector general's report has taken on increased attention as President Donald Trump and his allies have railed against FBI officials like McCabe over the agency's handling of certain investigations and claims of political bias.The New York Times first reported the FBI recommendation. 1736
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