Federal Reserve Bank of New York President John Williams said Thursday that he sees lower risks to inflation as tariffs have driven up price pressures less than expected. "I see on the margin...a reduction of some of the upside risks to inflation" from tariffs, Williams told reporters after speaking at the Economic Club of New York. He noted this reduction comes alongside greater clarity about future economic policy. Williams acknowledged that President Donald Trump's import tax increases are "definitely" affecting price pressures, but added that in terms of tariff pass-throughs to higher...
The US Dollar Index (DXY), which tracks the US Dollar (USD) against six major currencies, continues its losing streak for the fifth consecutive day, pressured by declining US Treasury yields. Market expectations of more aggressive Federal Reserve (Fed) rate cuts amid concerns over US economic growth are contributing to the weakness. The DXY is trading around 103.90 with 2- and 10-year yields on US Treasury bonds standing at 3.94% and 4.24%, respectively, during the early European hours on Friday. Traders are closely watching global trade developments, particularly Canada's decision to delay...
Gold price (XAU/USD) continues with its struggle to attract any meaningful buyers, though it manages to hold above the $2,900 mark through the Asian session on Friday. Traders now seem reluctant and opt to wait for the release of the closely-watched US monthly employment details before placing fresh directional bets, leading to subdued range-bound price action for the second straight day. The popularly known Nonfarm Payrolls (NFP) report will influence the near-term US Dollar (USD) price dynamics and provide a fresh impetus to the commodity. In the meantime, the growing acceptance that...
Silver (XAG/USD) oscillates in a narrow band during the Asian session on Friday and currently trades above mid-$32.00s, near its highest level in over a week touched the previous day. Moreover, the near-term bias seems tilted in favor of bullish traders and supports prospects for an extension of the weekly uptrend. The recent bounce from sub-$31.00 levels, nearing the 100-day Exponential Moving Average (EMA), and the fact that oscillators on the daily chart have just started gaining positive traction validate the constructive outlook for the XAG/USD. Hence, some follow-through strength...
The Japanese Yen (JPY) retains its positive bias for the third straight day against a broadly weaker US Dollar (USD) and keeps the USD/JPY pair close to its lowest level since early October during the Asian session on Friday. The growing acceptance that the Bank of Japan (BoJ) will continue to raise interest rates has been exerting upward pressure on Japanese government bond (JGB) yields. The resultant narrowing of the rate differential between Japan and other countries continues to act as a tailwind for the lower-yielding JPY. Moreover, the uncertainty surrounding US President Donald...
Gold traded around $2,900 per ounce on Friday, heading for a weekly gain, supported by its safe-haven appeal amid shifting global trade policies. While President Donald Trump paused the 25% tariffs imposed this week on most goods from Canada and Mexico, Canada's initial retaliatory tariffs remain, and China's measures take effect next week. Meanwhile, US jobs data painted a mixed picture, with the Challenger report showing layoffs surged to a 2020 high, while jobless claims dropped more than expected last week. These reports precede today's non-farm payrolls release, which could offer a...
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...