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 edges higher in early Asian trade, as investors digest the Fed's latest policy meeting minutes. The precious metal appears to be supported by the central bank's minutes, with the Fed uncertain what the economic environment will look like in terms of inflation. Escalating trade tensions have also increased demand for safe-haven assets like gold, says Harbourfront Wealth - Sonora Wealth Group in a note. Trump's recent proposal to impose an additional 25% on auto imports has raised market volatility, with major economies including China expected to impose retaliatory measures, investment...
The USD/JPY pair moved lower near 151.90 during the North American session on Wednesday (2/19). The asset moved lower despite the US Dollar (USD) trading higher, with the US Dollar Index (DXY) rising near 107.20. The greenback strengthened as market sentiment turned slightly cautious following US President Donald Trump's tariff threats. On Tuesday, Donald Trump threatened to impose a 25% tariff on foreign imports of cars, pharmaceuticals, and semiconductors. Trump did not provide a timeframe for allowing local manufacturers to increase operating capacity. Market participants expect...
Oil prices held near one-week highs on Wednesday on concerns about supply disruptions in Russia and the U.S., as markets awaited clarity on sanctions as Washington tries to broker a deal to end the war in Ukraine. Brent crude futures rose 20 cents, or 0.3%, to settle at $76.04 a barrel, while U.S. West Texas Intermediate (WTI) crude rose 40 cents, or 0.6%, to settle at $72.25. That was the highest close for both crude benchmarks since Feb. 11. "The market is trying to determine the three drivers that are bullish: Russia, Iran and OPEC," said BNP Paribas (OTC:BNPQY) commodity strategist...
Gold prices fell on Wednesday (2/19) during the North American session after the latest Federal Reserve (Fed) monetary policy minutes showed that all policymakers voted to keep interest rates unchanged at their January meeting. XAU/USD was trading around $2,925, down 0.31%. The minutes showed that Fed officials assessed the risks of a dual mandate as roughly balanced, while "some participants cited potential changes in trade and immigration policies as potentially hindering the disinflation process." Participants noted that some measures of inflation expectations "have risen...
The US Dollar Index (DXY), which tracks the performance of the US Dollar (USD) against six major currencies, is slowly moving higher and recovers above the 107.00 level on Wednesday, with traders seeing the DXY well positioned amidst all tariff and geopolitical headlines. Overnight, United States (US) President Donald Trump said that car tariffs will be around 25%, and that pharmaceutical and semiconductor imports will be added to the same scheme by April. President Trump tried to deflect the rather unsuccessful first day of negotiations between Russia and the US officials on a peace deal...
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...