Markets are kicking around the idea of a Federal Reserve rate cut in September, but Morgan Stanley isn't sure, warning that the odds may be closer to 50-50 despite widespread expectations. Strong economic indicators including solid GDP growth, healthy financial conditions, and low volatility stand in the way of a clear case for easing, the bank said in a recent report. Nominal GDP growth remains robust at over 5%, unemployment holds steady at 4.2%, and retail sales continue surpassing expectations, reflecting an economy far from needing stimulus, Morgan Stanley's economists said. "It cannot...
Silver extended its rally past the $33 per ounce mark on Friday, the highest in over three months and outperforming other bullion as its demand in electrification and manufacturing magnified the the support from a global pivot to safety. The unexpected rebound in the ISM Manufacturing PMI for January improved the outlook for US factory demand following more than two years of monthly contractions. Additionally, new data showed that China put up 357 gigawatts of solar and wind power in 2024, among the main uses of industrial silver. Also on the solar power front, India's Oil and Natural Gas...
The US dollar fell Friday, on track for a hefty weekly loss in the wake of hot inflation data and after President Donald Trump delayed imposing reciprocal tariffs on major U.S. trading partners. At 04:00 ET (09:00 GMT), the Dollar Index, which tracks the greenback against a basket of six other currencies, traded 0.4% lower to 106.815, dropping to a three-week low and on course for a loss of around 1% this week. President Trump directed officials on Thursday to formulate plans for reciprocal tariffs on every country that imposes taxes on U.S. imports, but stopped short of immediately...
Gold prices rose on Friday and were on tack for a seventh consecutive weekly gain as worries over a potential global trade war intensified after U.S. President Donald Trump's push for reciprocal tariffs. Spot gold was up 0.3% at $2,936.79 an ounce by 0828 GMT, taking its weekly advance to 2.7%. Bullion hit a record peak of $2,942.70 on Tuesday. U.S. gold futures were up 0.5% at $2,961.40. Uncertainty over the Trump administration's policies on trade, tariffs and broader foreign policy continues to support bullion, said Nicholas Frappell, global head of institutional markets at ABC...
EUR/USD moves little as traders adopt caution ahead of Eurozone GDP and US Retail Sales data due on Friday.Eurozone GDP may remain consistent at 0.9% growth YoY in Q4, as expected.US Retail Sales are forecasted to contract by 0.1% MoM in January, following a previous increase of 0.4%.EUR/USD holds steady around 1.0460 during Asian trading hours on Friday, following three consecutive sessions of gains. The pair strengthened after US President Donald Trump delayed the implementation of reciprocal tariffs. Meanwhile, the US Dollar (USD) weakens amid declining US Treasury yields, despite ongoing...
The US Dollar Index depreciated following Trump's decision to delay the implementation of reciprocal tariffs.US Retail Sales are forecasted to contract by 0.1% MoM in January, following a previous increase of 0.4%.The Greenback may gain ground as US Core PPI inflation has increased the odds of the Fed delaying rate cuts.The US Dollar Index (DXY), which tracks the US Dollar's (USD) performance against six major currencies, remains stable after losses in the previous session. At the time of writing, the DXY hovers around 107.00, while yields on 2-year and 10-year US Treasury bonds stand at...
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...