Search Results for: Federal Reserve

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U.S. August 2026 Figures Inflation Keeps Pressure on the Federal Reserve

America’s inflation problem is proving stubborn, with the latest figures increasing pressure on the Federal Reserve to raise interest rates again. U.S. consumer prices rose 3.4% in August 2026 from a year earlier, unchanged from July, according to the latest U.S. Consumer Price Index figures. Increase Prices increased 0.4% during August 2026, a sharp acceleration …

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The U.S. Federal Reserve has cut interest rates by 0.25%, lowering the federal funds rate to a range of 3.75%–4.00%

This marks the second consecutive cut in 2025 amid economic uncertainty and a government data blackout. In a move aimed at supporting growth, the Federal Reserve reduced its benchmark interest rate by 0.25% following its October policy meeting. The decision, reportedly backed by a 10–2 vote from the Federal Open Market Committee, reflects growing concern …

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U.S. Federal Reserve holds interest rates at 4.25% – 4.50% and upsets Trump in the process

The Federal Reserve held its key interest rate steady at 4.25% – 4.50% on 7th May 2025, citing economic uncertainty and the potential impact of tariffs. Fed Chair Jerome Powell emphasised that the central bank is in wait-and-see mode, monitoring inflation and employment risks. The decision follows concerns that Trump’s trade policies could lead to …

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Federal Reserve’s preferred recession indicator is flashing red again!

The Federal Reserve’s favourite recession indicator, the inverted yield curve, is flashing a danger sign once again. This occurs when the U.S. yield on the 10-year Treasury note falls below that of the 3-month note. Historically, this has been a reliable predictor of economic downturns, with a strong track record over a 12-18-month timeframe. The …

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Is it job done for the Federal Reserve now?

Recent inflation data suggests that the Federal Reserve is fast approaching its goal, if not already there – following the central bank’s significant interest rate reduction of 0.50% a few weeks ago Both consumer and producer price indexes for September 2024 aligned with forecasts, indicating a decline in inflation towards the central bank’s 2% target. …

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Federal Reserve chair Powell says keeping rates high for too long could jeopardize growth

Jerome Powell on Tuesday 9th July 2024 reportedly expressed concern that holding interest rates too high for too long could jeopardize economic growth. This comment came ahead of the consumer price index reading due this week. Preparing for a two-day session on Capitol Hill, the central bank chief stated that the economy and labour market …

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What if the Federal Reserve decided to hold interest rates in 2024?

The Fed in March 2024, indicated for the markets to expect three interest rate cuts by the end of 2024 – but what if this didn’t happen? The Federal Reserve’s decision to maintain interest rates in 2024 could have significant implications for the U.S. economy. Fed cred – credibility would be the first to go! …

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Federal Reserve chair Powell insists ‘probably’ fewer rate cuts in 2024 than the market expects

Federal Reserve Chair Jerome Powell said in a U.S. TV interview on Sunday 4th January 2024 that the central bank will proceed carefully with interest rate cuts this year and likely will move at a considerably slower pace than the market expects. Election year rate cuts? In the interview and after last week’s Federal Open …

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U.S. Federal Reserve Bank holds interest rates at 5.25% – 5.50% and indicates reluctance to cut just yet

The Federal Open Market Committee (FOMC) held interest rates steady and indicated a willingness stop raising interest rates. But a cut anytime soon is unlikely until inflation is brought fully under control and nearer to the Fed’s 2% inflation target. The Federal Reserve sent a signal that it is finished with raising interest rates but …

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Fed Raises Rates – And Markets Now Face a New Question

The Federal Reserve raised US interest rates by 25 basis points yesterday, taking its benchmark rate to 3.75%-4% and delivering the first increase since 2023. The move puts U.S. inflation firmly back at the centre of the market conversation. Despite months of speculation about the direction of monetary policy, the Fed has signalled that persistent …

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U.S. 10-Year Treasury Yield Hits 5%: A New Problem for Markets

The U.S. bond market is flashing an increasingly uncomfortable warning signal. The yield on the benchmark 10-year Treasury has climbed above 5%, reaching its highest level since 2007 as investors brace for potentially higher interest rates from the Federal Reserve. The yield subsequently moved above 5.04%, highlighting the severity of the bond sell-off. Stubborn Several …

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Is America’s Safe-Haven Status Starting to Slip? Why Central Banks Are Moving Gold Out of New York

For decades, the United States has been regarded as the world’s ultimate financial safe haven. Is America’s Safe-Haven Status Starting to Slip? From U.S. Treasury bonds to the U.S. dollar and the vaults of the Federal Reserve Bank of New York, global investors have traditionally trusted American institutions to protect their wealth in times of …

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The U.S. 10-Year Treasury Has Crossed a Line Investors Cannot Ignore

The yield on the U.S. 10-year Treasury has broken above 4.75%, reaching its highest level since early 2025 and moving into territory that is increasingly difficult for investors to dismiss. On Tuesday 1st September 2026, the yield climbed to around 4.78% as rising oil prices and renewed geopolitical tensions intensified concerns about inflation and interest …

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Jackson Hole: U.S. Rate Hike Fears Return

The 2026 annual Jackson Hole meeting has delivered a clear warning to financial markets: U.S. interest rates may not be heading lower… just yet. Federal Reserve Chair Kevin Warsh used his first major Jackson Hole speech to stress that inflation remains too high and that recent improvements have not been enough to convince policymakers that …

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U.S. Inflation Remains Stubbornly High

Fresh U.S. inflation figures released on 26th August have delivered an unwelcome reminder that the battle against rising prices is far from over. The Federal Reserve’s preferred measure, the Personal Consumption Expenditures (PCE) price index, rose 3.7% in July compared with a year earlier, unchanged from June 2026 and above economists’ 3.6% forecast. Core PCE, …

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U.S. Inflation Cools as July Prices Rise Just 0.1%

U.S. inflation offered investors some modest reassurance in July 2026, with consumer prices rising just 0.1% during the month, exactly in line with economists’ expectations. The increase left annual inflation at 3.4%, down slightly from 3.5% in June. The figures suggest that inflationary pressures are continuing to ease, although perhaps not quickly enough for the …

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Trump’s Latest Tariff Onslaught Marks a new Strategic Gameplay

President Donald Trump’s newest tariff onslaught is not simply a reprise of his earlier trade offensives; it represents a structural shift in how the White House intends to wield tariffs as a long‑term economic instrument. The administration has imposed fresh duties of 10% to 12.5% on 60 trading partners, including the EU, China, the UK …

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Summer Markets Poised for a Reality Check as Optimism Collides with Fragility

The probability of a summer correction in US equities is high U.S. stocks have entered the summer with a confident stride, buoyed by softer inflation data and a fresh wave of enthusiasm for AI and Chip linked earnings. Futures are rising, headlines are upbeat, and investors appear convinced that the worst of the tightening cycle …

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Nasdaq’s Rally Snaps as Hot Jobs Data Slams Tech

The Nasdaq Composite endured a bruising session on Friday, 5th June 2026, tumbling more than 4% in its steepest single‑day decline since April 2025. The sell‑off was triggered by a powerful combination of surging Treasury yields and a violent unwinding in semiconductor and mega‑cap technology stocks, following a far stronger‑than‑expected U.S. jobs report. Employers added …

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Wall Street Closes at Fresh Record Highs as AI Tech Stocks Surge

Wall Street ended April on a strong note as both the S&P 500 and the Nasdaq Composite closed at new record highs on 30th April 2026. Investors pushed major indices higher for a second consecutive session, encouraged by resilient corporate earnings and renewed confidence in the technology sector. The S&P 500 finished at 7,209, surpassing …

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Why Global Stocks Are Hitting Records Despite an Uncertain Middle East Backdrop

Global equities have staged a striking recovery, erasing the losses triggered by the U.S.–Israel–Iran conflict and pushing into fresh record territory. On the surface, this looks counter‑intuitive: the ceasefire remains fragile, diplomatic progress is uneven, and the threat of renewed escalation still hangs over the Strait of Hormuz. Yet markets have not only stabilised — …

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U.S. Inflation Stays Stubborn at 3% as Geopolitical Tensions Rise

America’s latest inflation figures show price pressures proving far stickier than the Federal Reserve would like, with the core PCE index — the Fed’s preferred gauge — holding at 3% in February 2026. Headline inflation came in slightly lower at 2.8%, but both measures remain well above the central bank’s 2% target. What makes this …

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U.S. wholesale prices jump – signalling stubborn inflation pressures

U.S. wholesale prices rose far more sharply than expected in February 2026, underscoring the persistence of inflationary pressures across the economy and complicating the Federal Reserve’s path on interest rates. The Producer Price Index (PPI), which tracks the prices businesses receive for goods and services, climbed 0.7% on the month—more than double economists’ forecasts. Annual …

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