Interest futures, including the US Treasury Bond, fell on Thursday after data revealed a jump in US wholesale inflation. As a result, investors lost a bit of confidence that the Fed would cut rates in June. This led to an increase in short-term Treasury yields, reflecting interest rate expectations. US consumer and wholesale inflation (Source: Read More…
Oil prices rose almost 3% on Wednesday due to a surprise draw in crude inventories. Moreover, there was a bigger-than-expected decline in US gasoline stocks, indicating robust demand and a looming tightness in the market. US crude inventories (Source: EIA) Notably, economists had expected a 1.3 million barrel increase in crude inventories. However, the Energy Read More…
Gold prices fell on Tuesday after the US inflation report renewed inflation worries and dimmed Fed rate-cut expectations. The Consumer Price Index report revealed a higher-than-expected figure for the annual rate, raising concerns that the Fed might decide to delay rate cuts further. Core US inflation (Source: Bureau of Labor Statistics) Notably, US headline inflation Read More…
Equities ended slightly lower on Monday ahead of US inflation data that might shape the outlook for Fed rate cuts. Investors were cautious, avoiding big positions as they awaited the US CPI report. Additionally, they took profits after Friday’s job report, which revealed weakness in the US labor market. The US will release the Consumer Read More…
Currency futures reached new heights on Friday as the dollar weakened after a mixed jobs report. Notably, the US employment report revealed some weakness in the labor market, supporting the view that rate cuts will come later in the year. As a result, most currency futures rose to new highs before pulling back as Friday’s Read More…
Interest futures rallied on Thursday after Powell confirmed that the Fed will likely cut interest rates later in the year. Consequently, short-term Treasury yields declined, reflecting an increase in rate-cut bets. At the same time, investors positioned themselves ahead of the crucial nonfarm payrolls report that could further influence the Fed’s policy outlook. On Wednesday Read More…
Oil prices rose on Wednesday after Powell confirmed expectations of rate cuts this year in the US. Additionally, support for oil came from supply and demand worries. While supply continues to tighten, there are demand worries as China’s economy struggles. During his testimony to Congress, Fed Chair Powell confirmed that there will be rate cuts Read More…
Gold prices soared to record highs on Tuesday due to increasing rate-cut expectations. Additionally, the yellow metal got support from a weaker dollar, ongoing geopolitical tensions, and demand from central bank purchases. US services growth (Source: Institute for Supply Management) Rate cut expectations rose on Tuesday after data from the US revealed a decline in Read More…
Equities fluctuated on Monday but closed slightly down as investors waited on the sidelines for more high-impact economic releases from the US. Additionally, they awaited more policy clues from Fed Chair Jerome Powell in his testimony before Congress on Wednesday. Notably, the S&P 500 reached temporary highs during the session, propelled by rallies in stocks Read More…
Currency futures rose on Friday as the dollar fell after weaker-than-expected data on US manufacturing. However, unlike other currencies, the yen fell due to dovish remarks from BoJ Governor Kazuo Ueda. US manufacturing activity (Source: ISM) Data on Friday revealed a contraction in US manufacturing in February. Additionally, factory employment fell to a 7-month low. Read More…
