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 Australian Dollar (AUD) dips against the US Dollar (USD) on Tuesday, following a gain of over 0.50% in the previous session. The AUD/USD pair remains under pressure after the interest rate decisions from the Reserve Bank of Australia (RBA) and the People's Bank of China (PBoC). The RBA board voted to cut the Official Cash Rate (OCR) by 25 basis points, reducing it from 4.1% to 3.85% at the conclusion of its May monetary policy meeting. The move was largely expected by markets. The PBoC announced a reduction in its Loan Prime Rates (LPRs) on Tuesday. The one-year LPR was lowered from...
Silver price continues its decline for the third consecutive session, trading near $32.20 per troy ounce during Tuesday's Asian session. The metal's weakness comes as optimism over a potential ceasefire between Russia and Ukraine reduces demand for safe-haven assets. Reuters reported that US President Donald Trump stated on Monday that following a call with Russian President Vladimir Putin, Ukraine and Russia are set to begin immediate ceasefire negotiations, potentially without US involvement. This development has pressured precious metals, including Silver, which typically benefit from...
GBP/USD continues its upward momentum for the second consecutive session, hovering near 1.3360 during Asian trading hours on Tuesday. The Pound Sterling (GBP) is strengthening as the US Dollar (USD) softens in response to Moody's Ratings downgrading the US credit rating from Aaa to Aa1. This downgrade echoes similar actions by Fitch Ratings in 2023 and Standard & Poor's in 2011. Moody's now anticipates that US federal debt will rise to approximately 134% of GDP by 2035, up from 98% in 2023, while projecting the federal budget deficit to widen to nearly 9% of GDP. The downgrade reflects...
The Japanese (JPY) weakens across the board on Tuesday, assisting the USD/JPY pair to reverse the previous day's slide to over a one-week low and climb back to mid-145.00s during the Asian session. A surprise downgrade of the US government's credit rating on Friday appeared to have a modest impact on the global risk sentiment. This is evident from a generally positive tone around the equity markets, which is seen as a key factor undermining demand for the safe-haven JPY. Any meaningful JPY downfall, however, seems elusive in the wake of the growing acceptance that the Bank of Japan (BoJ)...
Brent crude oil futures rose to around $65.6 per barrel on Tuesday amid increased uncertainty over the progress of US-Iran nuclear negotiations. Iran's Deputy Foreign Minister Majid Takhtravanchi said on Monday that talks between Iran and the US will "lead nowhere" if Washington continues to demand a complete halt to Tehran's uranium enrichment activities. Meanwhile, US President Donald Trump said that Russia and Ukraine will "immediately" begin ceasefire negotiations following a phone call with Russian President Vladimir Putin. A potential truce could pave the way for increased Russian oil...
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...