Fed

Mohamed El-Erian, a prominent economist and former CEO of PIMCO, has voiced significant concerns regarding the Federal Reserve, asserting that it is “getting harder to convince people that the Fed is apolitical.” What Happened: In a recent Substack post, El-Erian identifies three...

Tom Lee believes the current market environment bears similarities to 2018, when tariffs rattled stocks — yet he argues key differences today could actually support a stronger recovery, CNBC reports. What To Know: Lee, head of research at Fundstrat Global Advisors, suggests that a mix of monetary...

A significant disparity in Federal Reserve officials’ views on future interest rate policy points to deeper strategic challenges that could impact markets through 2025, according to prominent economist Mohamed El-Erian. What Happened: El-Erian, Chief Economic Adviser at Allianz, highlighted...

The U.S. Treasury yields have priced in the expectations of higher Consumer Price Inflation as the two-year bonds declined, with the yields rising to 4.34%, on Tuesday. These yields have risen the most since July 2024, as per Bloomberg. The ten-year yields followed and rose to 4.40% as well. Few...

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...