US PCE update edging closer
The main attraction of today’s session is the Fed’s preferred gauge of inflationary pressures, the Core PCE index, for the month August whose results will have a direct impact on the Federal Reserve’s impending rate decisions in the remaining two meetings of 2025. According to forecasts, year on year Core PCE reading is seen at […]
Hybrid and EV car sales thrive in Europe
The latest year-on-year data from the New Passenger Car Registrations indicator showcased that in the month of August, hybrid and battery electric vehicles(BEVs) far outperformed sales of traditional, petrol and diesel vehicles, showcasing that a shift in consumers behaviour may have occurred. Petrol car sales fell by -16%, diesel by -18% whereas, sales of hybrid […]
The bullion’s unstoppable rise to new heights
Investors continue to relentlessly allocate capital into the safe haven commodity, fuelling its ascent to fresh record highs week after week, as a confluence of bullish catalysts supercharges their conviction. The precious metal has recorded an impressive 40% gain year to date, its strongest gain performance since 1979 and analysts have upwardly revised their end […]
Eurozone flashes signs of life
Euro traders rejoiced earlier today after manufacturing and services updates from the bloc showcased a possible end of the long-lasting tarnishing trend and signalled that brighter days may lie ahead. Services activity appears to be at the early stages of escaping long periods of stagnation or mild contraction and instead return to expansion, as the […]
PBOC maintains cautious stance despite weak domestic activity
The People’s Bank of China opted to stand pat for a fourth consecutive meeting and kept both of its loan prime rates intact near historical levels, in line with market expectations, avoiding additional stimulus injections albeit the persistent slacking of domestic consumption and loss of economic momentum. The 1-year loan prime rate, a proxy for […]
BoJ surprises with ETF and REIT sale announcement
The Bank of Japan kept its policy rate intact at the 0.5% level at its September meeting, in line with broader market expectations, but surprised the markets by announcing that it will begin unwinding its ETF and REIT holdings portfolio, in a step to further normalize its monetary policy practices. Albeit keeping rates at their […]
Bank of England up next for a decision
After markets digested the Federal Reserve’s rate decision, the speech of Fed Chair Powel and the renewed projections of the FOMC committee for the foreseeable future, now attention is expected to shift, cross the Atlantic and fixate upon the respective policy decision from the Bank of England. BoE has slashed rates multiple times this year, […]
All about the Fed
Without a shadow of a doubt, the main attraction of today’s session is the Federal Reserve’s rate decision for the September meeting and albeit money markets almost fully pricing in a 25bps cut, a small minority bets that a jumbo 50bps cut could also be on the table. Even though inflationary pressures remain above the […]
Strength of US consumer gets an update
The highlight for investors during today’s session is the US retail sales update which will showcase how consumer spending trends evolved in the month of August. So far retail spending activity has been robust, albeit a few short-lived hiccups, indicating that despite the Fed’s tightening efforts to constrict inflationary pressures, the US consumer remains resilient […]
Week Ahead Schedule
Since there are scarcity economic news releases during today’s session, apart from President Lagarde’s speech, we decided to outline the most important releases for this week: Tuesday: We kick off the week with Eurozone’s ZEW economic sentiment indicator for September and industrial production rates for July, from Canada we note the latest CPI print and […]
US labour market concerns overshadow rekindled price pressures
Yesterday, markets put aside the modest reignition of inflationary pressures and instead diverted their attention onto the latest weekly initial jobless claims figure, that showcased a surprise rise to levels last observed before in October of 2021. According to the latest CPI print for the month of August, price pressures saw an increase of 0.2% […]
Euro parked at 4-year highs ahead of ECB’s decision
In a week’s time, Federal Reserve officials will convene for their September meeting and will most likely lower policy rates for the first time in 2025 by 25bps. Today, ECB policymakers will likewise convene but it is rather unlikely that they will vote to lower rates, but are rather expected to keep them intact for […]
Oracle’s stellar outlook sends stock soaring
Yesterday during the aftermarket hours of the American session, Oracle unveiled its second quarter earnings results and albeit slightly missing its EPS and Revenue targets, its rambunctious forward outlook sent its stock price more than 30% higher. Oracle’s reported total revenue for the quarter was $14.9bn, recording a modest 12% increase on year-on- year basis, […]
What to look out for this week
Since today, Tuesday, is a rather slow week in terms of economic news releases, we thus turn our attention and shed light to onto the events that lie ahead. Tomorrow Wednesday, attention will fall upon the latest CPI print from China in the far east and early in the Asian session, which would highlight whether […]
Chinese firms continue to circumvent Trump’s tariffs, sales in other markets soar
China’s exporting mechanism remains robust, albeit its modest slowdown in August, as manufacturers manage to circumvent the harsh tariffs imposed by the Trump administration and find clients across the rest of world. Exports were only up by 4.4% in August, the latest report showed, missing the markets’ 5% expectation and recorded its slowest growth expansion […]
High-stakes NFP print to steer the Fed’s policy decision for September
The anticipation is over and the time has come for the highly anticipated Non-Farm Payrolls data for the month of August, which will be released later on today and could finally, and hopefully, definitively confirm whether the Federal Reserve would decisively embark on its rate cutting campaign. In recent weeks, the focus and importance of […]
Swiss economy avoids deflationary rout
Earlier today, the latest CPI update from Switzerland matched economists’ expectations, standing still at the 0.2% level and rather confirmed the market views that SNB policymakers will most likely vote to keep rates unchanged at their upcoming quarterly policy decision in September. The central bank however is expected to face challenges in how they deploy […]
Act of defiance; China pumps up its chest towards the West
Worries across the Western hemisphere have been on the rise that China’s Xi is on a mission to redraw a geopolitical map with India’s PM Modi and Russia’s President Putin, alongside other leaders, in an act of defiance, fearing that the world order created by the US will soon be challenged by a fierce coalition, […]
UK’s Gilts climb to 1998-year highs on mounting fiscal concerns
Anxiety took hold of UK markets earlier today, as investors battled with souring growth prospects but also murky revival efforts from the government due to concerns over the country’s fiscal outlook. Driving 30-year gilts higher were concerns of the markets in regards to Chancelor Reeve’s Autumn Budget which entail further tax raises to keep targets […]
Safe haven assets attract bids amidst rising rate cut bets
Safe haven assets such as gold and silver attracted renewed interest from investors late last week as a flurry of US economic news releases, dovish Fed talk rhetoric and uncertain tariff developments, nudged money market participants to upwardly revise odds for a 25bps cut in September. Despite a hotter than expected PCE print investors fixated […]