The Federal Reserve is likely to start a series of interest-rate cuts next week and keep going through the end of the year, traders bet on Wednesday after tamer-than-expected producer price inflation last month calmed worries that price pressures would hold the central bank back from policy easing. Traders stuck to bets the Fed will start with a quarter-point reduction at its meeting next week, and continue with same-sized cuts through year-end, based on pricing of futures contracts that settle to the Fed's policy rate. The producer price index increased 2.6% in August from a year earlier,...
GBP/USD remained stable after posting a 0.5% gain in the previous session, trading around 1.3500 during the Asian session on Wednesday (August 13). The pair strengthened further as the US dollar (USD) weakened, driven by the latest US inflation data, which reinforced expectations of a Fed rate cut in September. The US Consumer Price Index (CPI) rose 2.7% year-on-year (yoy) in July, matching the 2.7% increase recorded in the previous month and below expectations of a 2.8% increase. Meanwhile, the annual core CPI rose 3.1% in July, compared to the 2.9% increase recorded in June, above market...
Gold edged higher on Wednesday (August 13th), supported by a weaker dollar after weak US inflation data reinforced speculation of a September interest rate cut, while investors focused on this week's US-Russia talks on the war in Ukraine. Spot gold rose 0.2% to $3,351.46 per ounce, as of 02:39 GMT. US gold futures for December delivery rose 0.1% to $3,401.60. "The weaker USD is allowing for a modest rise in gold prices, with the precious metal oscillating around the $3,350 level ahead of the Trump-Putin meeting on Friday," said Tim Waterer, chief market analyst at KCM Trade. "If the Alaska...
The dollar index strengthened as traders awaited comments from Federal Reserve officials for further clues on central bank policy after low inflation figures raised expectations for an interest rate cut next month. The Bloomberg Dollar Spot Index was little changed after a 0.4% decline on Tuesday. Chicago Fed President Austan Goolsbee and Atlanta Fed President Raphael Bostic are scheduled to speak later in the day. "The recent consolidation of the U.S. dollar in Asia reflects markets carefully considering incoming data and evolving policy signals," said Shier Lee Lim, head of macro strategy...
Oil prices held steady on Wednesday (August 13th) after a slight decline the previous day, with investors awaiting talks between US and Russian leaders on Friday as a potential catalyst for a new direction. Global benchmark Brent traded above $66 per barrel after falling 0.8% in the previous session, while West Texas Intermediate (WTI) hovered near $63. On the diplomatic front, US Secretary of State Marco Rubio held discussions with Russian Foreign Minister Sergei Lavrov to prepare for a summit between Donald Trump and Vladimir Putin. However, he reiterated that a breakthrough in the...
Oil prices stabilized after a slight decline on Tuesday, with investors looking to talks between US and Russian leaders on Friday for fresh impetus. West Texas Intermediate crude traded near $63 a barrel after falling 1.2% in the previous session, while Brent closed near $66. US Secretary of State Marco Rubio spoke with his Russian counterpart, Sergei Lavrov, to prepare for a summit between Donald Trump and Vladimir Putin, although he reiterated that the meeting was unlikely to produce a breakthrough in the Ukraine conflict. Oil traders are closely monitoring the talks, particularly the...
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...