Fed

After a sharp sell-off in early August, triggered by weaker-than-expected economic data, equity markets have staged a substantial rally. The S&P 500 Index, as tracked by the SPDR S&P 500 ETF Trust (NYSE:SPY) recovered more than half of the decline witnessed earlier this month. The tech-...

May’s inflation report was cooler than economists had predicted, boosting confidence in the Federal Reserve’s ability to steer the annual price index variation back toward its 2% target. The headline inflation rate decelerated to 3.3% year-over-year in May 2024, down from the previous...

Friday is shaping up to be one of the strongest days for metal commodities in recent years. Gold climbed over 1.7% toward a record-high close above $2,400 per ounce, silver surged more than 6% to its highest level since February 2013, and copper hit an all-time high. What Happened: In a week marked...

As the weekend comes to a close, let’s take a look at the top stories that shaped the week. From a former senator’s skepticism about President Joe Biden’s tax proposal to the Fed’s inflation indicator, here’s a quick recap of the key events that unfolded. Former...

As the week unfolds, investors are eagerly awaiting the impending release of the U.S. gross domestic product growth rate for the first quarter of 2024, set for this Thursday, ahead of the highly anticipated Personal Consumption Expenditure (PCE) price index report – the Fed’s preferred...

Concerns about economic downturns are resurfacing, at least on Reddit. With a chart depicting Treasury yield spreads, the post invited Redditors to weigh in on their predictions and insights regarding the possibility of a recession. See below. It’s been almost 2 years since the Yield Curve...

The blistering inflation report for March, marking the third consecutive month of surpassing expectations, coupled with an unexpectedly tight labor market report for the third consecutive month, jolted market participants and analysts into a dramatic overhaul of interest rate projections. To convey...

In March, the U.S. labor market surged beyond predictions, with 303,000 nonfarm payrolls added, surpassing expectations of 212,000. This marked the highest figure since May 2023 and accompanied a slight decrease in the unemployment rate from 3.9% to 3.8%. We covered it first here: US Labor Market...

Former U.S. Treasury Secretary Lawrence Summers has openly criticized the Federal Reserve’s indications of potential interest rate cuts in the near future, questioning the urgency of such decisions in light of a robust economy and persistent inflation concerns. During an appearance on...

Fed Chair Jerome Powell indicated on Wednesday that the Fed is likely to cut rates at some point this year, although he acknowledged that the outlook is uncertain and that decisions will be made on a meeting-by-meeting basis. During the March meeting, the Federal Reserve opted to maintain interest...

The Federal Reserve kept interest rates unchanged Wednesday between 5.25% and 5.5% at its March meeting, as widely expected by investors, confirming intentions to lower the cost of money in the coming months. While the policy statement provided little variation from January, the Federal Open Market...

The Federal Open Market Committee (FOMC) meeting announcement, set for Wednesday afternoon, stands as one of the most anticipated in recent memory. Two years since the start of interest rate hikes, with the Fed bringing rates to their highest levels in over two decades, policymakers may now finally...

The Federal Open Market Committee (FOMC) meeting is the pivotal event for the markets this week, possibly even the most crucial one of the entire first quarter of 2024. While the customary policy-meeting statement, set to be released at 2 p.m. on Wednesday, is expected to confirm a steady rate...

A safety net implemented by the Fed in the wake of the Silicon Valley Bank and Signature Bank failures in March 2023 has ceased operations this week. The Federal Reserve’s Bank Term Funding Program (BFTP) was designed as an emergency bulwark against the looming threat of a regional banking...

In an unexpected turn of events, Bank of America anticipates the Federal Reserve’s first interest-rate cut of 2024 to happen in June, not March, following unexpectedly hawkish comments from the central bank. What Happened: The Federal Open Market Committee (FOMC) meeting on Wednesday saw the...