Featured Content The Federal Funds Effective Rate is the primary interest rate in the U.S., influencing various aspects of the economy and the stock market. Set by the Federal Reserve, this rate dictates the interest banks charge each other for overnight loans, impacting everything from credit card rates to mortgage costs. Currently, the Federal Reserve […]
Read MoreFeatured Content The recent rise in oil and food prices has become a crucial topic for stock investors in the United States. Oil prices have surged due to global supply issues, geopolitical tensions, and production cuts. Higher oil costs impact not only energy companies but also transportation, manufacturing, and agriculture, where energy is essential for […]
Read MoreFeatured Content In today’s economic landscape, investors in the United States face three key factors shaping their strategies. The economy is showing resilience, supported by solid consumer spending and easing inflation. The growth rate, recently reported at an annualized 2.8%, indicates that consumers are continuing to spend despite inflationary pressures easing. This environment bodes well […]
Read MoreFeatured Content Economic Update In October, the U.S. labor market saw its weakest growth since December 2020, with non-farm payrolls increasing by only 12,000, far below the 113,000 predicted by economists. This decline is attributed to the impact of hurricanes hitting the southern coast and widespread industrial actions, including a significant strike at Boeing. Revisions […]
Read MoreFeatured Content In October 2024, the U.S. economy added 12,000 nonfarm payroll jobs, a significant decline from September’s revised gain of 223,000. This slowdown is primarily attributed to disruptions from Hurricanes Helene and Milton, which affected the Southeast and Florida, and labor strikes, notably in the aerospace sector. Despite these challenges, the unemployment rate remained […]
Read MoreFeatured Content The latest U.S. economic indicators reveal moderate growth and key data releases expected this week. The economy expanded by 2.8% in Q3, slightly below the projected 3.1%, indicating resilience yet a cautious outlook. This aligns with ongoing high-interest rates aimed at curbing inflation. Key indicators due for release include the Fed’s preferred inflation […]
Read MoreFeatured Content As of October 2024, inflation in the U.S. has cooled to a three-year low, standing at 2.5%. This progress has been driven by a combination of tighter monetary policy, easing supply chain disruptions, and more stable consumer demand. While inflation is edging closer to the Federal Reserve’s 2% target, concerns about wage growth, […]
Read MoreThe Federal Reserve (Fed) plays a critical role in the U.S. economy by adjusting interest rates, a tool used to control inflation, manage employment levels, and stabilize financial markets. The decision to raise or lower interest rates can have far-reaching effects on everything from consumer spending to business investment. Understanding why the Fed adjusts rates […]
Read More(Bloomberg) — Former Treasury Secretary Lawrence Summers warned that the assumption embedded in the bond market that the era of low interest rates — anchored by disinflationary pressures — is coming back is likely to be wrong. Most Read from Bloomberg “I suspect tumult” for markets in 2023, Summers told Bloomberg Television’s “Wall Street Week” […]
Read More(Bloomberg) — The Federal Reserve’s preferred inflation measures eased in November while consumer spending stagnated, suggesting the central bank’s interest-rate hikes are helping to cool both price pressures and broader demand — with more tightening on the way. The personal consumption expenditures price index excluding food and energy, which Fed Chair Jerome Powell has stressed […]
Read More(Bloomberg) — BlackRock Inc. strategists say traders that have started to bet on a sharp slowdown in inflation are setting themselves up for disappointment. While they acknowledge that prices pressures are ebbing faster than expected, they contest consensus bets that see the rate tumbling toward the Federal Reserve’s 2% target. That’s leading the world’s biggest […]
Read More(Bloomberg) — Professional speculators with billions in bearish trades on the line endured a rough ride after Tuesday’s report on US consumer prices brought the latest sign that the Federal Reserve is making progress in its battle against inflation. Hedge funds that had amassed the biggest short position against Treasuries since March 2020 were caught […]
Read More(Bloomberg) — A key gauge of US consumer prices posted the smallest monthly advance in more than a year, indicating the worst of inflation has likely passed and validating an anticipated slowing in the pace of Federal Reserve interest-rate hikes. Excluding food and energy, the consumer price index rose 0.2% in November and was up […]
Read More(Bloomberg) — As the US economy veered toward the biggest inflation shock in four decades, investors flocked to the one corner of Wall Street that seemed a sure-fire refuge: Treasuries that provide extra compensation to keep up with rising consumer prices. Then the brutal reality of bond-market math shredded that sense of safety. The Federal […]
Read More(Bloomberg) — The latest US jobs report doused nascent optimism that the American economy was weakening enough to warrant a go-slower approach by the Federal Reserve in its battle against inflation. Hiring topped estimates and wage growth accelerated more than expected last month, upending expectations that had built across Wall Street in recent weeks. Futures […]
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