The Bank of England's MPC voted 5-4 to keep Bank Rate at 4% at its November 5 meeting, in line with expectations. Four members favored a 25 bps cut to 3.75%, reflecting growing support for easing. Policymakers noted that CPI inflation has peaked and underlying disinflation is developing, aided by still-restrictive policy, lower wage growth, and easing services inflation. A sluggish economy and increasing labor market slack are also strengthening disinflation. The MPC said the risks to achieving the 2% target are now more balanced: inflation persistence has become less of a concern, while...
US Treasury yields fell on Thursday (5/23) after the 30-year US bond yield hit a 19-month high amid concerns about a widening US fiscal deficit, as Trump's "One Big Beautiful Bill" passed the US House and heads to the Senate. Longer-term Treasury yields fell as Trump's tax-heavy budget passed the House, pushing fiscal concerns to the forefront The US House of Representatives approved Trump's budget by a single vote on Thursday. The proposal, which would provide tax breaks on tips and loans on cars – made in the US – is expected to increase the deficit by $3.8 billion, according to the...
The S&P Global US Services PMI rose to 52.3 in May of 2025 from the 17-month low of 50.8 in the previous month, ahead of market expectations of 50.8, according to a flash estimate. Businesses received higher amount of new orders in the period despite the aggressive drop in orders from foreign markets, which was the sharpest on record when excluding the pandemic, indicating that tariffs and unpredictable economic policy by the government continued to impact businesses. The uncertainty and softer demand for capacity drove service providers to trim their employment levels for the second...
The S&P Global Flash US Manufacturing PMI increased to 52.3 in May 2025, the highest in three months, compared to 50.2 in April and beating forecasts of 50.1. The reading signalled the strongest improvement in business conditions since June 2022, as factory production moved back into expansion territory after two months of decline, and new order growth hit a 15-month high. However, the biggest positive contribution came from inventories, which rose to the greatest extent recorded since the survey began in 2009. Longer delivery times – which are typically associated with busier...
The Republican-controlled U.S. House of Representatives narrowly passed a sweeping tax and spending bill that would enact much of President Donald Trump's policy agenda on Thursday and saddle the country with trillions of dollars in debt. The bill would fulfill many of Trump's populist campaign pledges, delivering new tax breaks on tips and car loans and boosting spending on the military and border enforcement. It will add about $3.8 trillion to the federal government's $36.2 trillion in debt over the next decade, according to the nonpartisan Congressional Budget Office. What Trump called...
Initial jobless claims in the United States inched lower by 2,000 from the previous week to 227,000 on the period ending May 17th, the lowest in four weeks, and below market expectations of an increase to 230,000. The result extended the period of relative strength in the US labor market, despite the prolonged period of elevated interest rates and business pessimism highlighted by key leading economic indicators due to the heightened period of policy uncertainty. In turn, outstanding unemployment claims rose by 36,000 to 1,903,000 on the previous week, above expectations of 1,890,000, to...
Asia-Pacific markets traded higher, tracking Wall Street gains overnight.
Japan's benchmark Nikkei 225 rose 0.41% after hitting a fresh record high on Thursday, while the Topix added 0.61%. South...
Both the STOXX 50 and STOXX 600 hovered around the flatline on Friday, as investors adopted a cautious stance ahead of further developments in trade talks between US President Trump and Chinese...
The U.S. Supreme Court's tough questioning of President Donald Trump's global tariffs has fueled growing speculation that they will be overturned, but it also raises the potential for further...