Analysis-Some investors see Powell’s hawkish lean as response to looser financial conditions

A hawkish lean from Federal Reserve Chair Jerome Powell chilled a recent rebound in stocks and bonds, with some investors suggesting the central bank was pushing back against loosening financial conditions. Speaking at an International Monetary Fund conference on Thursday, Powell said the Fed would "not hesitate" to tighten monetary policy if needed and that the fight to restore price stability "had a long way to go." Though the comments did not go much beyond those given after the Fed's Oct. 31 – Nov. 1 monetary policy meeting, some investors believe Powell’s tone was more hawkish compared with those earlier remarks, which contributed to last week's powerful rebound in stocks and Treasuries.