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 US Dollar Index (DXY), which measures the value of the US Dollar against a basket of currencies, is holding near the 104.30 zone during Wednesday's session. A better than expected print in February's Durable Goods Orders, coupled with hawkish rhetoric from Fed officials, is helping the Greenback edge higher. However, momentum indicators remain conflicted, hinting at a still fragile upside. Daily digest market movers: US Dollar steadies as data, Fed comments offset risk sentiment shiftThe Greenback benefits from stronger than forecast US Durable Goods Orders for February, which also saw...
The AUD/USD pair exhibits indecisiveness around 0.6300 during North American trading hours on Wednesday. The Aussie pair struggles for direction after the release of the Australian Monthly Consumer Price Index (CPI) data for February, which showed that inflation has cooled down. The inflation data rose at a slower pace of 2.4% compared to estimates and January's reading of 2.5%. Technically, soft inflation data should have boosted market expectations that the Reserve Bank of Australia (RBA) could cut interest rates again in the April meeting. However, traders would also discount the...
The Pound Sterling (GBP) depreciates against the US Dollar (USD) on Wednesday as United Kingdom (UK) inflation came in softer than expected, while investors scrutinized the Spring Budget. Across the pond, mixed US economic data lent a lifeline to the Greenback, which pared losses versus the British pound. GBP/USD is trading at 1.2895, down 0.36%. Pound drops as inflation cools and Reeves' budget tightens spendingThe UK's inflation rate dipped below estimates, with headline figures rising 2.8% year-over-year (YoY) in February, compared to 3% in January. The Core CPI for the same period...
China Lifecos are already on the bid in Gold. The Shanghai Gold exchange admitted four Chinese Life Insurance companies as members of the exchange, enabling them to purchase Gold as part of a pilot program that could grow the network of Gold buyers and create a massive new buying impulse, TDS' Senior Commodity Strategist Daniel Ghali notes. Gold prices continue to rally north of $3000"These four lifecos alone have nearly 13Trillion yuan in total assets and represent nearly 2/3 of the total potential buying impulse from this pilot program. We estimate that a 1% allocation into Gold amounts...
The US Dollar Index (DXY), which tracks the performance of the US Dollar (USD) against six major currencies, is currently bouncing off the 104.00 mark and consolidates on Wednesday ahead of the US Durable Goods Orders data for February. On one hand, the DXY sees some selling pressure from a Black Sea ceasefire deal brokered by the United States (US), where Ukraine is willing to commit and Russia backtracks and demands a lift in all sanctions on banks and agricultural companies. On the other hand, the buying pressure comes from comments from US President Donald Trump, who said Copper...
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...