Federal Reserve (Fed) Bank of Dallas President Lorie Logan mused about making key policy adjustments at the Fed on Monday, stressing the need for more effective policy communication.The US has more room to reduce reserves.Responding to banks' increased short-run demand for reserves is a recipe for an ever-expanding central bank balance sheet.As reserve levels drop, preferable for the Fed to seek to meet lower long-run bank demand for reserves rather than the higher short-run demand.Fed balance sheet should hold primarily treasuries in the long run.I was encouraged to see the use of the...
Hong Kong's equities plunged 198 points or 1.0% to 19,405 on Thursday morning deals, ending gains in the previous two sessions amid declines in all sectors, especially consumers, tech, and financials. Sentiment was downbeat following overnight losses on Wall Street, driven by a pullback in major US tech stocks ahead of the Thanksgiving holiday. Meanwhile, concerns over trade disputes between China and the US administration were heightened as the Biden administration reportedly considered imposing additional restrictions on the sales of semiconductor equipment and AI memory chips to...
Asia-Pacific markets opened mixed on Thursday after Wall Street's rally stalled overnight even as inflation data matched expectations. The U.S. personal consumption expenditures, or PCE, price index rose 2.3% on an annualized basis, up from 2.1% in September. So-called core inflation, which excludes food and energy prices, rose 2.8% in the 12 months to October, up from 2.7% in the previous month. Both were in line with expectations from economists polled by Reuters, according to LSEG data. The Bank of Korea is expected to keep its benchmark interest rate unchanged at 3.25% when its...
Japanese stocks fell, dragged down by a decline in electronics shares, as concerns about U.S. trade policy persisted. Lasertec dropped 3.4% and Terumo dropped 1.7%. USD/JPY was at 151.46, down from 152.15 at the close of the Tokyo Stock Exchange on Wednesday. Investors were watching the yen and any developments related to the Russia-Ukraine war. The Nikkei Stock Average was down 0.4% at 37,994.69. Source: Bloomberg
Stocks fell in light trading on Wednesday as investors took some risk off the table following big November gains. The S&P 500 shed 0.4%, while the Nasdaq Composite lost 0.8%. The Dow Jones Industrial Average fell 115 points, or 0.3%, despite trading more than 140 points up at session highs. Traders appeared to take profits on big technology names that have largely performed well this year, which can explain the Nasdaq's underperformance. Nvidia which has surged more than 168% in 2024, lost more than 3% in the session. Meta Platformsslid about 1% after rallying around 60% this...
European stocks closed firmly lower on Wednesday, extending the drop from the prior session as markets continued to assess the outlook for ECB policy and the impact of tariff threats from the upcoming US presidential administration. The Eurozone's Stoxx 50 dropped 0.6% to close at 4,734 and the pan-European Stoxx 600 eased 0.2% to close at 505. ECB Governing Council member Schnabel noted that the Eurozone's economy is not headed into a recession, warranting caution in its upcoming policy decisions to not overly expedite rate cuts. French financial services providers were among the worst...
President Donald Trump said he would fire Lisa Cook from the Federal Reserve's Board of Governors if she does not resign her post over mortgage-fraud accusations from a top...
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...