The Australian dollar eased on Tuesday as global stocks underperformed while investors remain concerned over China’s economy and COVID lockdowns. At the start of the week, traders favoured the pledges of more stimulus from China’s government over the prospects of a prolonged lockdown in various regions of the nation that …
Read More »What ‘recklessness’ does Fed’s Bostic fight, want to avoid?
As the US central bank mobilizes for the inevitable fight against 40-year-high inflation with what is expected to be a string of big interest-rate hikes, one US central banker injected a tone that is full of caution, warning headlong rate hikes could create “significant economic dislocation.”In an essay published Tuesday, …
Read More »Governor Bailey: BoE not to blame for soaring inflation
The governor of the Bank of England has hit back at critics who accused him of being asleep at the wheel while inflation soared and a cost of living crisis hit UK living standards.Andrew Bailey defends response to Covid pandemic and indicates that the British central bank will not take …
Read More »Gold records a fresh two-week high at around $1860s
The Gold Index advances for the fourth successive trading day and begins the trading week with an upbeat tone but retreats at the 20-day moving average (DMA) at $1856.45. The XAU/USD Index reflects the weak appetite for the US dollar, despite higher US Treasury yields, which are pairing last Friday’s …
Read More »Biden is considering cutting tariffs on China and asking OPEC to pump more oil
US President Joe Biden said he was considering cutting tariffs on Chinese goods and called on the Organization of the Petroleum Exporting Countries (OPEC) to increase oil production as he faces a major inflation wave in the United States. Biden said on reducing tariffs on China that he is considering …
Read More »Germany wants to ban Russian oil with or without Hungary
German Economy Minister Robert Habeck said in a radio interview that the European Union has not yet agreed to the Russian oil embargo, adding that Germany would be willing to abandon Hungary’s participation to speed up the implementation of the proposed embargo. “If the commission chairperson says 26 countries will …
Read More »Lagarde signals ECB’s first Hike likely in July
European Central Bank President Christine Lagarde said the first increase in interest rates in more than a decade may come in July, but meanwhile she downplayed the idea of a half-point move amongst accelerating concerns about economic expansion. Lagarde joins a number of ECB policymakers calling for a July hike …
Read More »RBNZ could decide 50 bps rate hike next week
The Reserve Bank of New Zealand will have its monetary policy meeting next week. According to analysts at Wells Fargo, high inflation and a hawkish central bank outlook sets the scene for another 50 bps hike in May to 2.00%. They expect the rate to end the year at 3.00%. …
Read More »Bitcoin Preview Looks Bleak As T-Yields, Yen Signal US Recession
Investors looking for clues on whether bitcoin’s recovery is long-lasting may need to read between the lines to look at what traditional markets are saying. On Wednesday, Goldman Sachs CEO David Solomon told CNBC that investors should prepare to face a contraction in economic activity in the world’s largest economy …
Read More »Market Drivers – US Session – Wed. 18 May
The US dollar Index was unable to attract speculative interest, now hovering around $1,816 a troy ounce. Crude oil prices edged lower, with WTI now changing hands at $106.90 a barrel. The yield on the US 10-year Treasury note stands below 2.90%, as investors rushed into bonds’ safety.The EUR/USD pair …
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