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 dollar index held around 97.8 on Wednesday after firming in the prior session, as investors awaited key inflation reports that could influence the Federal Reserve's policy stance. The producer price index is due later today, followed by the consumer price index on Thursday. On Tuesday, the Bureau of Labor Statistics said the economy likely created 911,000 fewer jobs in the 12 months through March, or roughly 76,000 fewer jobs per month, pointing to a softer labor market than previously estimated. Combined with last week's weak August jobs report, the data bolstered expectations for a...
The Australian Dollar (AUD) loses ground on Wednesday for the second consecutive day. The AUD/USD pair struggles as the US Dollar (USD) extends its gains despite the United States (US) Nonfarm Payrolls Benchmark Revision, which has boosted odds that the Federal Reserve (Fed) will begin cutting interest rates as soon as next week. The AUD/USD pair holds losses following the release of China's Consumer Price Index (CPI), which declined 0.4% year-over-year in August after arriving at 0% in July. The market consensus was for a 0.2% decline in the reported period. The monthly CPI inflation came...
Gold rises in the early Asian trade. Its recent surge past $3,600/oz reflects investor demand for safe-haven assets due to deepening global economic and geopolitical uncertainty, Sean Hoey, managing director of IBV International Vaults London writes in a note. There has been a sharp rise in demand for physical precious metals which are insulated from broader market volatility, Hoey adds.Spot gold is 0.3% higher at $3,633.87/oz. Source: Bloomberg
Oil rose for a third session after President Donald Trump told European Union officials he's willing to slap new tariffs on India and China in an effort to get Russia to negotiate with Ukraine. However, it came with a caveat — Trump will only impose levies if EU nations do so as well. West Texas Intermediate climbed to trade near $63 a barrel during early Asian trading, while Brent closed above $66 on Tuesday. Futures gained in the previous session after Israel conducted a strike in Doha targeting senior Hamas leadership, raising concerns about escalating...
Crude futures recover more of last week's losses as continued fighting between Russia and Ukraine keep alive expectations of greater U.S. sanctions and supply disruptions. An Israeli air strike targeting the Hamas leadership in Qatar also raises geopolitical risk in the Middle East, Jorge Leon, Rystad's head of geopolitical analysis, says in a note. "Recent diplomatic initiatives led by the U.S. and Qatar have been dealt a major setback," he says. Much could depend on the response of Qatar, a close U.S. ally and Gulf Cooperation Council member, he adds. "Any fallout could amplify tensions...
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...