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,...
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...
Gold gained slightly after US inflation data matched expectations and strengthened bets on an interest rate cut next month. Gold bullion prices held steady after closing 0.2% higher in the previous session, following a report showing US core inflation rising to its strongest level since the start of the year—although a slight increase in goods prices eased concerns about tariff-driven pressures. The data raised speculation that the Federal Reserve would reduce borrowing costs next month, especially given the weakening labor market. Gold, which pays no interest, typically benefits in a...
The EUR/USD rises during the North American session, following the release of mixed inflation figures in the United States (US) and US President Donald Trump's threats to sue the Fed Chair Jerome Powell. At the time of writing, the pair edges up 0.50% at 1.1673. Market mood remains positive with US stocks boosted by mixed readings on the Consumer Price Index (CPI). Although headline inflation was unchanged, underlying numbers exceeded estimates, though it was ignored by market participants, who had priced in over 90% chances of a rate cut by the Federal Reserve. Following the figures,...
The dollar fell across the board on Tuesday after data showed that U.S. consumer prices increased moderately in July, leaving intact the case for a Federal Reserve interest-rate cut next month. The consumer price index rose 0.2% last month after gaining 0.3% in June, the Labor Department's Bureau of Labor Statistics said on Tuesday. In the 12 months through July, the CPI advanced 2.7% after rising 2.7% in June. Economists polled by Reuters had forecast the CPI rising 0.2% and increasing 2.8% year-on-year. "Underlying inflation remains subdued, giving policymakers room for maneuver as they...
Gold price recovered some ground on Tuesday, climbing 0.20% following the release of July's inflation print in the United States (US). Although prices had risen, Bullion's was supported by US President Donald Trump's remarks threatening the Federal Reserve's (Fed) independence. The XAU/USD trades at $3,348 at the time of writing. The US Consumer Price Index (CPI) for July missed estimates in its headline print YoY and increased the odds for a rate cut. However, the core CPI, which excludes volatile items, jumped above the 3% threshold YoY. Initially, XAU/USD fell toward its daily lows but...
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...