The Fed will be in the spotlight this week, as markets are now all but certain that the central bank will slash interest rates at the end of its latest two-day gathering on Wednesday. Underpinned by signs of a softening U.S. labor market, policymakers are widely anticipated to back the first rate cut since an easing cycle was paused in December. Bringing down rates can, in theory, help spur investment and hiring. However, a reduction can risk pushing up inflationary pressures at the same time. Last week, a monthly U.S. consumer price index reading accelerated slightly due to an uptick in...
Gold prices edged up on Tuesday as investors awaited further clarity on US-China trade talks and awaited key US inflation data due later in the week that could provide insight into the Federal Reserve's future interest rate decision. Spot gold was up 0.2% at $3,333.89 an ounce, as of 0818 GMT, after dropping as low as $3,301.54 earlier in the session. US gold futures were steady at $3,354.70. "Gold prices found a bottom amid dip buying although the rally lacked conviction. Fiscal concerns and Fed rate cut bets were the catalysts for the recovery," said Jigar Trivedi, senior commodities...
Gold price (XAU/USD) attracts fresh sellers during the Asian session on Tuesday and drops to the $3,300 neighborhood in the last hour, closer to a one-week low touched the previous day. The optimism over US-China trade talks undermines safe-haven assets, which, along with a goodish pickup in the US Dollar (USD) demand, turn out to be key factors exerting downward pressure on the bullion. However, the growing acceptance that the Federal Reserve (Fed) will lower borrowing costs further in 2025 might keep a lid on any meaningful USD appreciation. Furthermore, persistent geopolitical risks...
The Japanese yen weakened to around 145 per dollar on Tuesday, reaching a near two-week low as optimism surrounding US-China trade talks dampened demand for safe-haven assets. Officials from both nations met in London on Monday to discuss rare earth shipments and the potential easing of export restrictions, with further negotiations expected to continue on Tuesday. On the domestic front, revised data showed Japan's economy was flat in the first quarter, improving from an initial estimate of a 0.2% contraction. Still, the result marks a notable slowdown from the 0.6% expansion recorded in...
Oil prices hit multi-week highs on Monday, buoyed by a weaker U.S. dollar, while investors awaited news from U.S.-China trade talks in London in hopes a deal could boost the global economic outlook and subsequently fuel demand. Brent crude futures settled 57 cents higher, or 0.9%, to $67.04 a barrel. During the session, the benchmark rose to $67.19 a barrel, the highest since April 28. U.S. West Texas Intermediate crude rose 71 cents, or 1.1%, to $65.29. The contract reached $65.38 a barrel during the session, the highest since April 4. A weaker U.S. dollar gave some support to oil...
XAG/USD hit another 13-year high to kick off the new trading week, testing above $36.80 per ounce and laying fresh tracks toward $37.00/oz as metals investors bank on a perfect storm of factors to continue pushing Silver prices into their highest bids since early 2012. The US Dollar (USD) continues to get pummeled across the global FX market, with the US Dollar Index (DXY) stuck near multi-year lows. A weaker Greenback is helping to bolster spot Silver prices, with further support coming from ongoing market hopes for Federal Reserve (Fed) rate cuts sometime this year. Industrial demand for...
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...