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 prices rose above $2,720 an ounce on Tuesday (1/21), extending gains from the previous session as investors remained focused on the potential impact of U.S. President Donald Trump's policies during his second term. Trump said he may impose 25% tariffs on Mexico and Canada starting early next month, although he did not provide a timetable for China tariffs. Those tariffs, if enacted, could trigger a trade war, boosting demand for safe haven assets like bullion. At the same time, investors are weighing inflation risks, as Trump's agenda of tax cuts and increased government spending could...
EUR/USD remains in negative territory after paring recent losses, trading around 1.0380 during Asian hours on Tuesday (1/21). The euro (EUR) remains under pressure as dovish expectations for the European Central Bank (ECB) continue to dominate. Markets are pricing in a 25 basis point (bps) interest rate cut at each of the next four ECB policy meetings, driven by concerns over the Eurozone economic outlook and the belief that inflationary pressures will remain subdued. These dovish bets have increased due to growing confidence that Eurozone inflation will return sustainably to the ECB's 2%...
WTI crude oil prices rose to around $76.8 a barrel on Tuesday (21/1), as traders digested a series of executive orders from U.S. President Donald Trump following his inauguration. Among them was a plan to impose 25% tariffs on imports from Mexico and Canada starting Feb. 1, tempering investor expectations of a delay. However, Trump delayed announcing specific levies on China, the world's largest oil importer, keeping markets on edge. Traders also awaited further details on sanctions targeting major oil exporters, including Russia, Iran and Venezuela. On Monday, crude prices fell more than...
The Australian dollar (AUD) pared its recent gains on Tuesday (21/1) after a strong performance in the previous session. However, the AUD/USD pair strengthened as the US dollar (USD) weakened, with traders looking at US President Donald Trump's economic policy updates, particularly on tariffs. The S&P/ASX 200 Index rose to nearly 8,400 on Tuesday, hitting its highest level in six weeks. The rally came after Donald Trump's second-term inauguration, as markets reacted positively to his decision not to announce new tariffs. Traders are increasingly anticipating that the Reserve Bank of...
The dollar index rose to around 108.5 on Tuesday (21/1), recovering some of the previous session's losses after U.S. President Donald Trump said he was considering 25% tariffs on Canada and Mexico as early as Feb. 1, citing concerns about illegal immigration at the U.S. border. Trump also mentioned China but did not provide further details. The dollar has gained momentum since October, driven in part by concerns that Trump's "America First" policies and pro-growth stance could spur inflation, which in turn could discourage the Federal Reserve from cutting interest rates further. However,...
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...