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 tracks the performance of the US Dollar (USD) against six major currencies, is getting ready for one the most important phone calls in nearly a decade history while the biggest central bank is considering its next steps in monetary policy this week. At the time of writing on Monday, the DXY index edges lower and trades near 103.40 after the United States (US) Retail Sales data release for February. On the geopolitical front, a high-stakes meeting between US President Donald Trump and Russian President Vladimir Putin is scheduled on Tuesday, with the two...
The Pound Sterling (GBP) jumps to near 1.2970 against the US Dollar (USD) at the start of the week. The GBP/USD pair rises as the US Dollar Index, which tracks the Greenback's value against six major currencies, declined to near 103.50. The USD Index weakens while investors await the monetary policy decision from the Federal Reserve (Fed) and the Bank of England (BoE), which will be announced on Wednesday and Thursday, respectively. Both the Fed and the BoE are expected to keep interest rates steady. According to the CME FedWatch tool, the Fed is almost certain to keep borrowing rates...
West Texas Intermediate (WTI), futures on NYMEX, posts a fresh weekly high near $68.00 in European trading hours on Monday. The Oil price strengthens on hopes that China's fresh monetary stimulus plan will boost domestic consumption. On Sunday, the Chinese ministry announced a comprehensive "special action plan" to ramp up economic growth. The ministry reported that the plan focuses on increasing residents' incomes, reducing financial burdens, and enhancing the consumption environment, Reuters report. Such a scenario is favorable for the Oil price given that China is the largest importer...
The US Dollar Index (DXY), which tracks the performance of the US Dollar (USD) against six major currencies, could see an outburst in volatility this week amid geopolitical developments and the Federal Reserve (Fed) meeting. At the time of writing on Monday, the DXY index edges lower and trades near 103.50 ahead of the United States (US) Retail Sales data for February. On the geopolitical front, a high-stakes meeting between US President Donald Trump and Russian President Vladimir Putin is scheduled on Tuesday, with the two parties to discuss territory and to divide up certain assets,...
The euro is nearing $1.09, near its November high, as traders await further updates on Germany's fiscal stimulus. A key spending plan vote is set for this week, with proposed reforms, exempting defense spending from debt limits and setting out a €500 billion infrastructure investment plan, expected to be passed in Germany's lower and upper houses. This follows a deal secured by the election-winning conservative CDU/CSU bloc with the SPD and the Greens. Meanwhile, investors are closely monitoring developments in the ongoing trade war and the situation in Ukraine. On the monetary policy...
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...