Global stocks fell and long-dated bond yields in Europe hit multiyear highs on Tuesday as investors grew increasingly worried about the state of finances in countries around the world, while the dollar gained, and gold touched a fresh record high. A divided U.S. appeals court ruled on Friday that most of President Donald Trump's tariffs are illegal, although the court allowed for the tariffs to stay in place until October 14 to give the administration a chance to file an appeal with the Supreme Court. U.S. manufacturing also contracted for a sixth straight month in August as factories...
Gold price (XAU/USD) drifts lower during the Asian session on Thursday, albeit it remains confined in a familiar range held over the past week or so amid mixed fundamental cues. The overnight hawkish remarks by FOMC members, including Federal Reserve (Fed) Chair Jerome Powell, reaffirmed expectations that the US central bank will take a cautious stance on cutting rates. This assists the US Treasury bond yields to rebound slightly from their lowest closing levels in more than a month and turns out to be a key factor undermining the non-yielding yellow metal. Apart from this, the prevalent...
The dollar index held steady around 106.3 on Thursday after experiencing increased volatility in the previous session as investors continued to assess the outlook for Federal Reserve monetary policy. On Wednesday, Fed Chair Jerome Powell indicated that the central bank was in no rush to cut interest rates, citing stronger-than-expected growth, a strong labor market and persistent inflation pressures. Meanwhile, data showed that U.S. service sector growth slowed more than anticipated in November. The probability of a 25 basis point rate cut in December increased to about 79%, up from 66.5%...
The Japanese Yen (JPY) edged higher against its US counterpart during the Asian session on Thursday, pulling away from a weekly low hit the previous day. Signs that underlying inflation in Japan is picking up continued to fuel expectations that the Bank of Japan (BOJ) will raise interest rates again in December. Moreover, persistent geopolitical risks, trade war fears and an overnight decline in US Treasury yields further benefitted the low-yielding JPY. That said, Wednesday's aggressive remarks by a number of influential FOMC members, including Federal Reserve (Fed) Chairman Jerome...
The Australian dollar (AUD) remained under selling pressure on Thursday. Disappointing Australian economic data and rising expectations of an early interest rate cut by the Reserve Bank of Australia (RBA) dragged the Aussie lower. Additionally, concerns about potential import tariffs from President-elect Donald Trump may have contributed to the AUD's decline. Traders will be eyeing the US Initial Jobless Claims and the weekly Goods Trade Balance on Thursday for fresh impetus. Any sign of weaker US labor market data could undermine the greenback and help limit losses for the pair. On...
Gold price advances during Wednesday's North American session, sponsored by mixed US economic data. Nevertheless, the non-yielding metal remained slightly subdued as Federal Reserve (Fed) Chair Jerome Powell crossed the wires. The XAU/USD trades at $2,652, up 0.35%. Powell said the US economy is in good shape, adding that September's rate cut was a message to support the labor market. He said that despite showing progress, it's premature to declare victory on inflation, and the US central bank could be cautious in setting monetary policy. Recently, inflation has proved to be stickier than...
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...