Economic Report

During its meeting, on Tuesday, August 2, the Reserve Bank of Australia is expected to hike the cash rate by 50 bps. The current cash rate is at 1.35%, a level that Australian monetary policymakers consider as ‘below neutral’, while they consider the neutral level is at least 2.5%. Smaller …

US monetary policymakers opted a 75bps rate hike. Markets expected this move; a historically large hike. Jerome Powell explained that Fed would likely stop hiking once inflation is controlled. If unemployment rises, the job market weakens, and the US falls into a recession, Fed would ease policy due to lower …

The Nasdaq and the S&P 500 indexes rose on Friday and were seen on track for their biggest monthly gain in nearly 20 months, after positive earnings updates from Amazon.com and Apple, on hopes of a less aggressive monetary policy.Nasdaq, S&P 500 rise on upbeat forecasts from Apple, Amazon© Reuters. …

The Japanese yen rose on Friday, set for its biggest weekly gain in four months against the dollar on bets that US interest rates are nearing a peak after data on Thursday showed that the world’s largest economy unexpectedly contracted in the second quarter. Futures markets expect US interest rates …

Volatility erupted in the forex market after the US officially entered a technical recession in the second quarter of 2022 and Europe’s energy crisis keeps inflation sticky high. This development followed the Fed’s second consecutive 75-basis-point interest rate hike, for the first time since early 1980s.Today, currency flows shifted to …

The one thing Google, Snapchat, TikTok and Facebook all have in common is their business model that rely a lot on selling advertisements. This is why they of course share something else: a problem. Google is expected to comprise 30% of total worldwide digital ad revenues this year. Snapchat and …

The dollar fell to a three-week low against the yen on Thursday after US Federal Reserve Chairman Jerome Powell calmed investor concerns about continued monetary tightening. The dollar fell to 135.105 yen to the dollar, its lowest since July 6, after the US central bank raised the key interest rate …

It has been a big Wednesday for gold. FOMC decision should help convince Wall Street that a peak in Treasury yields (10-year) is in place. The Fed is still committed to fighting inflation and the market is getting very close to pricing in peak tightening.Gold looks like it could continue …

The USD/CAD pair remains pressured around six-week low, keeps Fed-inspired bearish bias despite oil’s pullback. Fears of US recession also recently poked bears even as Fed’s Powell favored sellers.USD/CAD bears approach 1.2800 while extending the post-Fed losses during Thursday’s Asian session. In doing so, the Canadian dollar ignores a pullback …

The dollar moved further away from its highest level in 20 years on Wednesday before the Federal Reserve meeting. The US central bank is expected to raise interest rates by another 75 basis points to rein in spiralling inflation. However, trading in the currency markets was limited as traders awaited …