On Wednesday, the S&P/ASX 200 Index increased by 0.8%, going above 7,060. This rise was due to an increase in technology and banking stocks, following similar trends on Wall Street. Investors are hopeful that the worst is over from the collapse of Silicon Valley Bank and Signature Bank. Additionally, a US inflation report that matched expectations calmed the...
The Japanese yen strengthened to 133 per dollar, reaching its highest levels in almost a month. This was due to the US regulators stepping in to protect depositors and financial institutions following the collapse of Silicon Valley Bank, causing speculation that the US Federal Reserve may take a less aggressive approach to policy tightening to avoid further risks...
The Japanese yen has appreciated past 130 per dollar and is heading back to its strongest levels in almost eight months. This is mainly due to a general weakness in the dollar, with expectations that the Federal Reserve will slow the pace of its interest rate hikes. The Bank of Japan recently held a policy meeting in January, where policymakers debated the...
The Federal Reserve raised the target range for the federal funds rate by 0.25% to 4.5%–4.75% in its February 2023 meeting. This was a smaller increase than the previous meeting and pushed borrowing costs to the highest level since 2007. Policymakers expect to raise the target range further to reach a restrictive monetary policy that will help bring inflation to...
I've been watching silver prices closely, and they've been hovering around $24 per ounce so far this year. On January 16th, the price briefly touched a nine-month high of $24.4, helped by a weaker dollar and expectations of easier monetary policy. There have been signs of lower inflation and recession concerns, which have fueled speculation that the Federal...
The Federal Reserve's interest rate decision and the US non-farm payrolls report are the most highly anticipated events in the US, as savvy investors like myself keep a close eye on the economy. The inflation numbers have shown signs of cooling, giving me hope that the Federal Reserve might slow down its monetary policy tightening with a modest 25 bps rate hike...
The Swiss franc recently dropped to 0.92 per USD, retreating from its 1-year high of 0.916 on January 16th. As I assess the situation, I consider the outlook of monetary tightening by both the Swiss National Bank and the Federal Reserve . The recent slowdown in Swiss inflation has limited the expectations for further rate hikes by the SNB. According to December's...
The yield on the US 10-year Treasury note, seen as a proxy for global borrowing costs, bottomed around 3.3%, the lowest since September 2022, as mounting fears of a sharp economic downturn and prospects of a less aggressive Federal Reserve boosted appetite for government debt. Data released Wednesday showed that Americans curbed spending while business investment...
The United States Government Debt is estimated to have reached 137.20 percent of the country's Gross Domestic Product in 2021. source: Office of Management and Budget, The White House Outstanding Sovereign Debt in the United States as a Percentage of GDP is a measure of a country's national debt in relation to its economic production. The significance of the...
The US 10-year Treasury yield, the benchmark for borrowing costs worldwide, hit 4.2%, approaching a 15-year peak of 4.3% hit in late October, as worries about inflation and aggressive Fed tightening spooked investors. The Federal Reserve delivered a widely expected 75 bps hike last week while flagging a longer monetary tightening path as the central bank seeks to...
The euro fell further to $0.97 during the second week of October, closing close on a 20-year low of $0.95 set on September 27th after a positive US employment report boosted the currency and supported Federal Reserve interest rate increases. This occurred after a positive US employment report boosted the currency and supported Federal Reserve interest rate...
WTI crude futures were trading around the $80 per barrel mark, pressured by persistent concerns over a demand-sapping global economic slowdown, while a stronger dollar supercharged the bearish momentum. The US oil benchmark is poised to decline for the fourth straight month while heading for its first quarterly loss in more than two years as markets were worried...
For the first time since April 2010, the yield on a 10-year US Treasury note hit 3.9%, as expectations of higher interest rates to control sky-high inflation continued to make people less interested in buying government debt. In September, the Federal Reserve raised interest rates for the third time in a row, to a target range of 3% to 3.25% . Money markets now...
At the end of September, the euro was worth $0.97, which was its worst level since June 2002. This was because investors were worried about a recession and digesting the results of Italy's election. According to economic data released on Friday, business activity in the Eurozone dropped for the third month in a row in September and is likely to drop even more in...
Wednesday, the Federal Reserve made a much-anticipated decision about monetary policy: it raised interest rates by 3/4 of a percentage point. The Fed chose to boost the target range for the federal funds rate by 75 basis points, to 3 to 3.25 percent, because it aims to achieve full employment while keeping inflation at 2 percent in the long run. The Fed's third...
The euro remained below $1 in the fourth week of August, the lowest level since late 2002, as recession fears in Europe reemerged again with a deepening energy crisis. Natural gas prices are approaching €300 per megawatt hour after Russian state-owned energy exporter Gazprom said it would shut down the Nord Stream natural-gas pipeline to Germany for three days of...
In the third week of August, the euro fell to approximately $1.02, as rising fears about an economic slowdown, particularly in Europe and China, and hawkish views by certain Fed members drove the dollar higher. The euro has been trading at parity since early July, as there are growing signals that the Eurozone economy is entering a recession at a time when...
Stock prices went down a lot during trading on Thursday, but they went up a lot during trading on Friday. Because of the rally that happened during the day, the main averages set new highs for the first quarter as they closed. As the trading day came to an end, the main averages went up even more, and at the end of the session, they were at their highest levels of...