Federal Reserve Governor Christopher Waller said on Thursday he continues to believe the U.S. central bank should cut interest rates at the end of this month amid mounting risks to the economy and the strong likelihood that tariff-induced inflation will not drive a persistent rise in price pressures. "It makes sense to cut the FOMC's policy rate by 25 basis points two weeks from now," Waller told a gathering of the Money Marketeers of New York University. "I see the hard and soft data on economic activity and the labor market as consistent: The economy is still growing, but its momentum...
European stocks rose on Thursday after the ECB cut interest rates for the eighth time in a year. The ECB lowered borrowing costs by 25 basis points and revised down its inflation forecasts for 2025 and 2026. While the rate cut was largely priced in, the sharper-than-expected downward revision to the 2026 inflation outlook caught some market participants by surprise. ECB President Lagarde acknowledged that the inflation outlook remains more uncertain than usual. Also supporting sentiment was news of a phone call between U.S. President Trump and Chinese President Xi, which indicated progress...
The three major US stock averages hovered around the flatline on Thursday, as investors weighed mixed economic data and reports of a phone call between US President Trump and Chinese President Xi, though no details of the conversation were disclosed. On the data front, initial jobless claims unexpectedly rose to 247K, the highest level since October last year, signaling potential softening in the labor market. Additionally, labor costs rose more than initially estimated, adding to inflationary concerns. Traders are now looking ahead to Friday's key jobs report for further insight into the...
The Hang Seng climbed 253 points or 1.1% to close at 23,907 on Thursday, notching its third straight gain and a two-week high. Broad-based sector advances drove the rally, with sentiment boosted by a rebound in China's services activity for May, following April's seven-month low. The tech index led the rise, up near 2.0% after a strong performance in Chinese ADRs listed in New York. Property, consumer, and financials also advanced, aided by optimism over potential U.S.-China trade talks, despite President Trump saying it was "extremely hard" to reach a deal with Xi Jinping. Meantime, U.S....
The Nikkei 225 Index fell 0.51% to close at 37,554 while the broader Topix Index dropped 1.03% to 2,756 on Thursday, giving back gains from the previous session as US stocks struggled for momentum overnight. The downturn followed a lackluster performance in US markets, where weak labor and services data raised concerns about the impact of trade policy uncertainty on the economy. The ADP report showed US private-sector hiring slowed to its lowest level in over two years, while the US ISM services PMI for May pointed to the first contraction in nearly a year. On the domestic front, data...
Both the STOXX 50 and STOXX 600 edged 0.1% higher on Thursday, as investors refrain from making big bets ahead of the European Central Bank's monetary policy decision later in the day. The ECB is widely expected to cut interest rates once more before potentially pausing to assess the broader impact of US trade policies under President Trump on the European economy. On the data front, German factory orders unexpectedly rose in April, defying forecasts of a decline. In corporate news, shares of LVMH (+1.1%), ASML Holding (+1.2%), L'Oréal (+0.7%), EssilorLuxottica (+1.1%), and Bayer (+3.5%)...
According to a statement by the Federal Reserve (Fed), Fed Chair Jerome Powell met with United States (US) President Donald Trump on Thursday, where the head of the Fed reiterated that the Fed's...
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...