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...
EUR/USD is trading in a tight range near the psychological 1.0500 mark during the European session on Wednesday. The major currency pair is consolidating as investors await the outcome of the Federal Reserve's (Fed) final policy meeting of the year, which will conclude at 19:00 GMT. The Fed will also release a revised Summary of Economic Projections (SEP), also known as the dot plot, which shows the latest economic projections and where policymakers see the Federal Funds Rate heading in the medium to long term. Analysts at Bank of America (BofA) expect the Fed to cut interest rates by 25...
Silver (XAG/USD) struggled to capitalize on the previous day's modest rebound from the vicinity of monthly lows, around the psychological $30.00 mark and attracted some sellers on Wednesday. The white metal remained pressured through the first half of the European session and is currently trading just below mid-$30.00s, down nearly 0.30% for the day. From a technical perspective, the recent failure near the $32.35 horizontal resistance and a subsequent fall back below the 100-day Simple Moving Average (SMA) favors bearish traders. Moreover, oscillators on the daily chart are holding in...
Gold (XAU/USD) prices remained depressed through the first half of the European session on Wednesday, albeit lacked any follow-through selling and so far, has held above the one-week low touched the previous day. A less dovish Federal Reserve (Fed) outlook remained supportive of the US Treasury bond yields and acted as a headwind for the non-yielding yellow metal. However, the US Dollar (USD) investors seemed reluctant to place any aggressive bets and preferred to wait for the key FOMC decision. Investors will be closely watching the latest economic projections, including the so-called dot...
The Australian Dollar (AUD) extended its decline for the second straight session against the US Dollar (USD) on Wednesday (18/12). Traders are bracing for a potential 25 basis point interest rate cut by the US Federal Reserve (Fed) later in the North American session. The AUD is also facing headwinds as traders increase their bets that the Reserve Bank of Australia (RBA) will cut rates sooner and more significantly than previously expected. However, the upcoming decision will be data-driven, with evolving risk assessments guiding the RBA's approach. The US Dollar (USD) remains solid amid...
The Japanese Yen (JPY) struggled to build on the previous day's modest recovery against its US counterpart and attracted fresh sellers during the Asian session on Wednesday. Data released today showed that Japan's Trade Balance unexpectedly improved in November on strong export growth, although a decline in imports indicated weak local demand. This, coupled with an uncertain economic outlook amid concerns about US President-elect Donald Trump's tariff plans, reaffirmed expectations that the Bank of Japan (BOJ) will keep interest rates steady later this week and weakened the JPY. Meanwhile,...
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...