Stephen Miran, a Federal Reserve governor whose term ends at the end of January, said Thursday that he is looking for 150 basis points of interest-rate cuts this year to boost the U.S. labor market. Miran told Bloomberg Television's Surveillance program that Fed officials had room to further reduce rates given his view that underlying inflation was likely running at 2.3%. "I'm looking for about a point and a half of cuts. A lot of that is driven by my view of inflation," Miran said. "Underlying inflation is running within noise of our target, and that's a good indication of where overall...
Gold held firm near a more-than-two-week peak on Thursday, as the dollar softened and investors hunkered down for Friday's U.S. inflation data for cues on the Federal Reserve's policy path. Spot gold was up 0.1% at $3,399.60 per ounce, as of 0851 GMT, after hitting $3,401.73, its highest level since August 11, earlier in the session. U.S. gold futures for December delivery edged 0.2% higher to $3,456.20. The dollar index was down 0.1% against its rivals. Investors are awaiting the release of the Personal Consumption Expenditures (PCE) Price Index, the preferred inflation measure for the...
The U.S. dollar was little changed on Thursday (August 28th) as traders increased bets for a Fed rate cut next month after New York Fed Chairman John Williams hinted at the possibility of a rate cut. The U.S. currency is again under pressure from President Donald Trump's intensifying campaign to exert more influence over monetary policy decisions, as he seeks to oust Fed Chair Lisa Cook and replace her with a loyalist. The dollar weakened against the euro even after the French Prime Minister unexpectedly called for a no-confidence vote next month on Monday, which would likely lead to the...
Oil prices plummeted on Thursday (August 28th) after briefly rising in the previous session, pressured by expectations of lower US fuel demand as the summer holiday season ends and Russian supplies to Hungary and Slovakia resume via the Druzhba pipeline resume. Crude prices briefly rose on Wednesday after official data showed US crude inventories fell by 2.4 million barrels in the week ending August 22nd, compared with analysts' expectations in a Reuters poll for a 1.9 million barrel drop, a sign of strong demand. However, oil market participants view the upcoming US Labor Day holiday as...
Silver prices (XAG/USD) rose more than 0.5%, trading around $38.80 per troy ounce in early European trading on Thursday (August 28th). Non-yielding silver prices strengthened amid the increasing likelihood of an interest rate cut by the US Federal Reserve (Fed). Lower interest rates reduce the opportunity cost of holding precious metals compared to interest-bearing assets, making silver more attractive. Traders now price an 88% chance of a rate cut of at least a quarter point at the Fed's September meeting, up from 82% the previous week, according to the CME FedWatch tool. This shift...
Oil prices fell on Thursday after rising in the previous session as investors weighed expectations for lower U.S. fuel demand with the end of the summer demand season nearing and focused on India's response to punitive U.S. tariffs. Brent crude futures dropped 63 cents, or 0.91%, to $67.43 at 0502 GMT, and West Texas Intermediate (WTI) crude futures dropped 62 cents, or 0.97%, to $63.55. Both contracts climbed in the prior session after the U.S. Energy Information Administration reported that U.S. crude inventories fell by 2.4 million barrels in the week ended August 22, compared with...
Bank of Japan (BOJ) Governor Kazuo Ueda stated that achieving 2% inflation is getting closer, although real inflation remains low. Ueda emphasized that the BOJ will continue to raise interest rates...
The Reserve Bank of Australia (RBA) maintained its cash rate at 4.1% during its April meeting, holding borrowing costs unchanged after slashing 25 bps in the February meeting, aligning with market...