Stephen Miran, a Federal Reserve governor whose term ends at the end of January, said Thursday that he is looking for 150 basis points of interest-rate cuts this year to boost the U.S. labor market. Miran told Bloomberg Television's Surveillance program that Fed officials had room to further reduce rates given his view that underlying inflation was likely running at 2.3%. "I'm looking for about a point and a half of cuts. A lot of that is driven by my view of inflation," Miran said. "Underlying inflation is running within noise of our target, and that's a good indication of where overall...
The Federal Open Market Committee (FOMC) meeting, which will be held tomorrow morning, is a major focus for global financial markets. Investors are awaiting new guidance from the US central bank regarding the direction of interest rates and future economic conditions. Although there is little likelihood of a change in interest rates in the near future, the tone of the Fed's discussions will significantly influence market direction. The FOMC's primary focus will be assessing persistent inflation and the slowing US labor market. The Fed will also evaluate whether current monetary policy is...
Bank of Japan (BOJ) Governor Kazuo Ueda stated that achieving 2% inflation is getting closer, although real inflation remains low. Ueda emphasized that the BOJ will continue to raise interest rates if the economic and inflation outlook supports such a move, leaving open the possibility of further policy changes. With CPI inflation continuing to rise moderately, Japan has the potential to experience sustained wage and price increases. Ueda also mentioned the decreasing likelihood of the Japanese economy returning to a "zero norm" condition, where wages and prices are stagnant. This could...
Federal Reserve Bank of Cleveland President Beth Hammack said she saw no need to change U.S. interest rates for months ahead after the central bank cut borrowing costs at its last three meetings, the Wall Street Journal reported on Sunday. Hammack opposed recent rate cuts as she is more worried about elevated inflation than the potential labor-market fragility that prompted officials to lower rates by a cumulative 75 basis points over the past few months, the report added. Hammack told the Journal that the Fed didn't need to change its benchmark interest rate, currently in a range between...
The Bank of Japan (BOJ) officially raised interest rates on Friday to their highest level in three decades. This move is a key part of the BOJ's efforts to end a long era of ultra-loose monetary policy and near-zero borrowing costs. As expected, the BOJ raised the short-term interest rate from 0.5% to 0.75% through a unanimous decision by policymakers. This increase underscores the BOJ's commitment to gradually normalizing its monetary policy. The market now awaits BOJ Governor Kazuo Ueda's press conference, scheduled for 3:30 p.m. local time, for further explanation and clues on the...
The Bank of Japan (BOJ) is expected to raise interest rates on Friday to a three-decade high, from 0.5% to 0.75%, signaling readiness for further increases beyond next year. This move demonstrates the BOJ's confidence that sustained wage increases will keep inflation around its 2% target, even as interest rates remain low by global standards. This hike is a key step in Governor Kazuo Ueda's efforts to normalize monetary policy in Japan, which has long been accustomed to extreme easing and near-zero interest rates. Markets are now focused on Ueda's post-meeting press conference for clues...
Bank of Japan (BOJ) Governor Kazuo Ueda stated that achieving 2% inflation is getting closer, although real inflation remains low. Ueda emphasized that the BOJ will continue to raise interest rates...
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...