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 futures rise as the U.S. dollar weakens and investors position themselves ahead of key U.S. economic data. Futures are up 0.6% at $3,420.80 a troy ounce. The precious metal has edged higher as the weaker dollar improves gold's comparative safe-haven aspects. U.S. Treasurys also began to slide in the previous session, further supporting gold, SP Angel analysts say in a note. The 10-year fell below 4.4% for the first time since early May, as weak ADP numbers raised concerns over the strength of the U.S. labor market, SP Angel says. Market attention now turns to Friday's nonfarm payroll...
Oil remained stuck near $65 a barrel as signs Saudi Arabia is seeking another big production increase at next month's OPEC+ meeting offset the outlook for summer demand. Brent futures posted a slight recovery Thursday, but prices have been largely bound to a narrow price range since the middle of May. Broader markets were also moslty flat as traders await US jobs data due on Friday. Saudi Arabia wants the Organization of the Petroleum Exporting Countries and its allies to continue to add at least 411,000 barrels a day of output in August and potentially September, according to...
Silver prices surged to $35.60 per ounce on Thursday, reaching their highest level since February 2012, as weak US economic data and a dovish Federal Reserve outlook fueled safe-haven demand ahead of Friday's non-farm payrolls report. Expectations for a Fed rate cut in September have intensified following a string of disappointing indicators. The latest ADP report showed just 37,000 private-sector jobs were added in May, the weakest monthly gain since March 2023, while the ISM Services PMI dropped to 49.9, signaling the sector's first contraction in nearly a year. Outside of economic...
'Slightly pessimistic and uncertain' was the characterisation of the US outlook expressed in the Fed's Beige Book released last night and ahead of the next FOMC meeting on 19 June. Yet business sentiment did not show any clear deterioration over prior Beige Books, and the report also noted that 'there were widespread reports of contacts expecting costs and prices to rise at a faster rate going forward'. This latter point is keeping the Fed resistant to growing political pressure to cut rates, ING's FX analyst Chris Turner notes. USD is susceptible to further downside "Softer US data has...
Gold price (XAU/USD) lacks any firm intraday directional bias on Thursday and oscillates in a narrow trading band through the first half of the European session. The commodity, however, remains close to a multi-week top touched on Tuesday and seems poised to appreciate further amid a combination of supporting factors. Investors remain on edge amid rising geopolitical risks and persistent trade-related uncertainties. This might continue to act as a tailwind for the safe-haven precious ahead of potential talks between US President Donald Trump and Chinese President Xi Jinping. Meanwhile,...
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...