US equities ended lower on Tuesday as investors grappled with downbeat economic data, rising trade tensions, and mixed corporate earnings. The S&P 500 dropped 0.5%, the Nasdaq slid 0.7%, and the Dow slipped by 62 points, following Monday's sharp rebound from Friday's losses tied to a disappointing jobs report. Concerns about stagflation resurfaced after the ISM Services index showed activity had stalled in July. Meanwhile, President Trump's threats of steep tariffs up to 250% on pharmaceutical imports alongside potential levies on semiconductors, added to market unease amid ongoing...
The dollar index held steady around 106.3 on Thursday after experiencing increased volatility in the previous session as investors continued to assess the outlook for Federal Reserve monetary policy. On Wednesday, Fed Chair Jerome Powell indicated that the central bank was in no rush to cut interest rates, citing stronger-than-expected growth, a strong labor market and persistent inflation pressures. Meanwhile, data showed that U.S. service sector growth slowed more than anticipated in November. The probability of a 25 basis point rate cut in December increased to about 79%, up from 66.5%...
The Japanese Yen (JPY) edged higher against its US counterpart during the Asian session on Thursday, pulling away from a weekly low hit the previous day. Signs that underlying inflation in Japan is picking up continued to fuel expectations that the Bank of Japan (BOJ) will raise interest rates again in December. Moreover, persistent geopolitical risks, trade war fears and an overnight decline in US Treasury yields further benefitted the low-yielding JPY. That said, Wednesday's aggressive remarks by a number of influential FOMC members, including Federal Reserve (Fed) Chairman Jerome...
The Australian dollar (AUD) remained under selling pressure on Thursday. Disappointing Australian economic data and rising expectations of an early interest rate cut by the Reserve Bank of Australia (RBA) dragged the Aussie lower. Additionally, concerns about potential import tariffs from President-elect Donald Trump may have contributed to the AUD's decline. Traders will be eyeing the US Initial Jobless Claims and the weekly Goods Trade Balance on Thursday for fresh impetus. Any sign of weaker US labor market data could undermine the greenback and help limit losses for the pair. On...
Gold price advances during Wednesday's North American session, sponsored by mixed US economic data. Nevertheless, the non-yielding metal remained slightly subdued as Federal Reserve (Fed) Chair Jerome Powell crossed the wires. The XAU/USD trades at $2,652, up 0.35%. Powell said the US economy is in good shape, adding that September's rate cut was a message to support the labor market. He said that despite showing progress, it's premature to declare victory on inflation, and the US central bank could be cautious in setting monetary policy. Recently, inflation has proved to be stickier than...
Oil steadied after a decline, with traders looking ahead to an OPEC+ meeting on Thursday that's expected to see the cartel again defer a move revive shuttered capacity in an already well-supplied market. West Texas Intermediate traded near $69 a barrel after sliding by 2% on Wednesday, with Brent crude closing above $72. The Organization of the Petroleum Exporting Countries and its allies are edging closer to agreeing to push back an increase in supply to stave off a glut in 2025. US data on Wednesday painted a mixed picture. While commercial stockpiles shrank by more...