Futures turn negative as Fed’s Powell warns of prolonged recession

FILE PHOTO: The New York Stock Exchange (NYSE) is seen in the financial district of lower Manhattan during the outbreak of the coronavirus disease (COVID-19) in New York City, U.S.

Dow and S&P futures turned negative on Wednesday as Federal Reserve Chairman Jerome Powell warned of a prolonged U.S. recession due to the coronavirus outbreak in his prepared remark before the address.

“The scope and speed of this downturn are without modern precedent, significantly worse than any recession since World War II,” Powell said.

The webcast of Powell’s address is currently underway.

At 9:09 a.m. ET, Dow e-minis were down 67 points, or 0.28%. S&P 500 e-minis were down 5 points, or 0.18% and Nasdaq 100 e-minis were up 16 points, or 0.18%.

Moments before the release of his prepared remarks, Dow e-minis were up 102 points, or 0.43%. S&P 500 e-minis were up 14 points, or 0.49% and Nasdaq 100 e-minis were up 62.75 points, or 0.69%.

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