Reuters

Fed vice chair traded into stocks on eve of Powell pandemic statement: Bloomberg

U.S. Federal Reserve Vice Chair Richard Clarida traded between $1 million and $5 million out of a bond fund into stock funds one day before Chair Jerome Powell issued a statement indicating potential policy action due to the worsening of the COVID-19 pandemic, Bloomberg News reported on Friday. Clarida’s trades were described in his 2020 financial disclosures, showing the shifting of funds out of a Pimco bond fund on Feb. 27, 2020, and buying the Pimco StocksPlus Fund and the iShares MSCI USA Min Vol Factor exchange-traded fund in similar dollar ranges, on the same day, the report said. The next day on Feb. 28, 2020, Powell released a statement that said coronavirus “poses evolving risks to economic activity.”

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