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...
The GBP/USD climbs solidly during the North American session, up by 0.37% ahead of the Bank of England's (BoE) meeting and as traders digest the recent Nonfarm Payroll figures, and over the weekend developments, that opened a spot for US President Trump to nominate a Fed Governor. At the time of writing, the pair trades at 1.3342.The Bank of England is expected to reduce rates by 25 basis points, to 4%, according to money market futures data. The decision is expected not to be unanimous, with banks like Morgan Stanley expected to hold, Catherine Mann, a 50 basis points cut, Swati Dhingra,...
Oil prices rose early on Wednesday, for the first time in five sessions, as a report showed a larger than expected drop in U.S. inventories amid strong summer demand. West Texas Intermediate crude oil for September delivery was last seen up US$0.95 to US$66.11 per barrel, while October Brent oil was up US$0.92 to US$68.56. In its weekly survey, the American Petroleum Institute reported U.S. oil inventories fell by 4.2-million barrels last week, while the consensus analyst estimate expected a drop of 1.8-million barrels, according to Oilprice.com. The Energy Information Administration will...
The US Dollar is trading lower on Wednesday, weighed by a combination of renewed stagflation concerns following weak US macroeconomic data and investors' caution, awaiting Trump's nominee for the Fed Chair. The US President narrowed down the number of candidates to four after the rejection of Treasury Secretary Scott Bessent. The best positioned are the National Economic Council Director, Kevin Hassett, and former Governor Kevin Warsh, both proponents of an easier monetary policy. Governour Crhistopher Waller and David Malpass, a former Trump administration official and ex-president of the...
Gold prices eased on Wednesday as U.S. Treasury yields inched higher, while investors remained cautious ahead of President Donald Trump's Federal Reserve appointments. Spot gold was down 0.5% at $3,362.54 per ounce by 1047 GMT, after hitting a nearly two-week high on Tuesday. U.S. gold futures also fell by 0.5% to $3,417.30. Yields on benchmark 10-year Treasuries rose after four straight days of declines, reducing the appeal of non-yielding bullion. "Investors will be keeping a close eye on developments regarding White House appointments to the Federal Reserve and any trade-related news,...
The EUR/USD pair is consolidating gains near weekly highs as the US Dollar languishes, following an unexpectedly weak services sector report that cast further doubts on the momentum of the United States (US) economy. Renewed concerns about stagflation keep the US Dollar pinned near lows, while in Europe, retail consumption figures have failed to provide significant support to the Euro. The Euro (EUR) is trading at 1.1580 in the early European session on Wednesday, after bouncing from 1.1530 lows on Tuesday. The pair holds most of the gains taken on Friday after the release of a grim US...
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...