Both the STOXX 50 and the STOXX 600 traded around the flatline on Monday, as investors adopted a cautious stance amid a lack of fresh catalysts. The only notable data release was the UK's final GDP growth figures, which confirmed the preliminary estimate. Trading conditions are expected to remain subdued this week, as the schedule is shortened by the Christmas holiday, with most major European stock exchanges closed on Thursday and Friday. Meanwhile, investors continue to monitor developments in the war in Ukraine, after a Kremlin aide said that European and Ukrainian revisions to US peace...
U.S. President Donald Trump on Tuesday said there was a long list of people who could take over the Federal Reserve, slamming current chairman Jerome Powell as the central bank prepared to meet this week. "We have an incompetent head of the Fed... we got a bad Fed guy, but he'll be out of there in a few months, and we'll get somebody new," Trump told business leaders at a dinner in Tokyo during his week-long trip to Asia. Powell's term ends in May. The Republican president added that he had wanted Scott Bessent to take over the U.S. central bank but that his Treasury chief declined: "I'm...
Federal Reserve policymakers are widely expected to reduce U.S. short-term borrowing costs this week by a quarter of a percentage point for the second time this year as they look to prevent further slowing in the labor market. Odds are it won't be the last of the series. Climbing unemployment insurance claims suggest that labor market demand continues to cool, even as the government shutdown delays publication of most official economic statistics, including the unemployment rate, last estimated at 4.3% in August. Milder-than-expected inflation readings, including last week's report that...
Federal Reserve policymakers are widely expected to reduce U.S. short-term borrowing costs this week by a quarter of a percentage point for the second time this year as they look to prevent further slowing in the labor market. Odds are it won't be the last of the series. Climbing unemployment insurance claims suggest that labor market demand continues to cool, even as the government shutdown delays publication of most official economic statistics, including the unemployment rate, last estimated at 4.3% in August. Milder-than-expected inflation readings, including last week's report that...
Following the final October meeting (October 28–29, 2025), the FOMC calendar still lists December 9–10, 2025. This means the Fed could technically still act once more this year. Market and economist expectations, according to surveys and money market prices, still position a high probability of a cut in December in addition to October. Several major economists also still project two cuts before the end of the year. Powell hinted that monetary policy tightening could end within a few months. This is a looser tone and is compatible with further policy easing if accompanied by supportive...
The Fed will meet on October 28-29, 2025. This meeting is crucial because the market still considers the possibility of an interest rate cut, but its direction will be heavily influenced by the September CPI (US inflation) release, which was rescheduled to Friday, October 24 due to the shutdown. Therefore, the Fed is really waiting for the data before making a decision. In his last speech (October 14), Fed Chairman Jerome Powell said the US economy was "stronger than expected," but the job market was weakening. This means the Fed remains cautious and will determine policy on a...