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...
Oil prices fell on Tuesday as Chinese economic data renewed demand concerns, while investors remained cautious ahead of the U.S. Federal Reserve's interest rate decision. Brent crude futures were down 32 cents at $73.59 a barrel by 0949 GMT, while U.S. West Texas Intermediate crude futures were down 44 cents at $70.27 a barrel. Prices were "weighed down by profit-taking after last week's 6% rally and a batch of disappointing Chinese economic data yesterday," said IG market analyst Tony Sycamore. Prices fell from multi-week highs on Monday on unexpectedly weak consumer spending data from...
The dollar strengthened on Tuesday ahead of an expected interest rate cut in the United States, as traders grew more confident that the Federal Reserve will gradually lower borrowing costs next year. The euro, which is set to lose nearly 5% against the dollar this year, was trading at $1.04823 ahead of the Fed decision. The gap between U.S. and German 10-year yields is 216 basis points, near its widest in five years, after rising nearly 70 basis points in three months, further weighing on the euro. The Fed hands down its interest rate decision on Wednesday and interest rate futures imply...
Gold prices slide ahead of the Federal Reserve's policy meeting, with traders cautiously waiting for cues on the U.S. central bank's outlook for 2025. Futures trade 0.4% lower at $2,652.75 a troy ounce. A widely anticipated 25-basis-point rate cut is already fully priced into markets, according to analysts, but further cuts are less certain. Meanwhile, U.S. PMI data showed the services sector rose at a faster-than-expected pace. "The resilience of the U.S. economy supports our view that the Fed's 2025 rate cutting cycle is likely to be shallow," ANZ Research analysts say. "We expect a...
Oil prices nudged lower on Tuesday as China's economic data renewed demand concerns, while investors remained cautious ahead of the U.S. Federal Reserve's interest rate decision. U.S. West Texas Intermediate crude was down 11 cents at $70.60 a barrel at 0802 GMT, while Brent crude futures eased 2 cents to $73.89 a barrel. Prices were "weighed on by profit-taking after last week's 6% rally and a batch of disappointing Chinese economic data yesterday," IG market analyst Tony Sycamore said. On Monday, prices fell from multi-week highs on unexpected weakness in consumer spending data from...
The Japanese Yen (JPY) continues to struggle to attract meaningful buyers and held near a three-week low against its US counterpart heading into the European session on Tuesday. Firming expectations that the Bank of Japan (BOJ) will keep short-term interest rates unchanged later this week, coupled with a positive risk tone, continued to undermine the JPY's safe-haven appeal. Moreover, bets for a less dovish Federal Reserve (Fed) continued to support a pickup in the US Treasury bond yields, which turned out to be another factor weighing on the lower-yielding JPY. However, JPY market players...
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...