Global stocks recover after Trump denies plan to fire Fed chief

STORY: Asian stocks got some relief on Wednesday (April 23) morning, following Wall Street higher after Donald Trump said he would not try to fire Federal Reserve chair Jerome Powell. Japan’s Nikkei index was up around 1.5% by mid-morning. Hong Kong’s Hang Seng index posted similar gains. Investors had been concerned that Trump would attempt to fire Powell, who he blames for being too slow to cut interest rates. But speaking Tuesday (April 22) the U.S. president denied ever contemplating such a thing: “Never did. The press runs away with things. No, I have no intention of firing him. I would like to see him be a little more active in terms of his idea to lower interest rates. This is a perfect time to lower interest rates.”Asian markets were also cheered by Trump’s hints that his tariffs on China could start to come down, though he said they would not go to zero: "145 percent is very high and it won't be that high, not going to be that high.”The reduced tensions saw recent gains for some safe-haven assets go into reverse. Gold edged lower in Asian morning trade, dropping away from recent record highs above $3,500 per ounce. The dollar also recovered some of its losses against currencies including the Swiss franc and Japanese yen. Investor anxiety is far from ended though. Many remain concerned that the Fed might be pressured into doing rate cuts that could fuel inflation. And on trade, U.S. Treasury Secretary Scott Bessent warned that talks with China are yet to begin, and will be a long "slog” when they do. The real-world effects of the trade turmoil are showing up too, with the International Monetary Fund slashing its outlook for growth around the world.

STORY: Asian stocks got some relief on Wednesday (April 23) morning, following Wall Street higher after Donald Trump said he would not try to fire Federal Reserve chair Jerome Powell. Japan’s Nikkei index was up around 1.5% by mid-morning.

Hong Kong’s Hang Seng index posted similar gains. Investors had been concerned that Trump would attempt to fire Powell, who he blames for being too slow to cut interest rates. But speaking Tuesday (April 22) the U.

S. president denied ever contemplating such a thing: “Never did. The press runs away with things.

No, I have no intention of firing him. I would like to see him be a little more active in terms of his idea to lower interest rates. This is a perfect time to lower interest rates.

”Asian markets were also cheered by Trump’s hints that his tariffs on China could start to come down, though he said they would not go to zero: "145 percent is very high and it won't be that high, not going to be that high.”The reduced tensions saw recent gains for some safe-haven assets go into reverse. Gold edged lower in Asian morning trade, dropping away from recent record highs above $3,500 per ounce.

The dollar also recovered some of its losses against currencies including the Swiss franc and Japanese yen. Investor anxiety is far from ended though. Many remain concerned that the Fed might be pressured into doing rate cuts that could fuel inflation.

And on trade, U.S. Treasury Secretary Scott Bessent warned that talks with China are yet to begin, and will be a long "slog” when they do.

The real-world effects of the trade turmoil are showing up too, with the International Monetary Fund slashing its outlook for growth around the world..