- U.S. equity funds witnessed outflows in the week to Oct. 9 as investors booked profits due to a shift in market expectations about the Federal Reserve rate cut path and a surge in bond yields. According to LSEG data, investors sold a net $342 million worth of U.S. equity funds during the week following a net $30.86 billion worth of purchases in the previous week.
U.S. equity funds witnessed outflows in the week to Oct. 9 as investors booked profits due to a shift in market expectations about the Federal Reserve rate cut path and a surge in bond yields. According to LSEG data, investors sold a net $342 million worth of U.S. equity funds during the week following a net $30.86 billion worth of purchases in the previous week.
-The case for quarter-point U.S. interest rate cuts at upcoming Federal Reserve policy meetings appeared intact on Friday after a report showed producer prices were flat last month compared with August, suggesting inflation continues on track toward the Fed's target.
Rating agency Moody's has cut its outlook on Volkswagen to "negative" from "stable", citing a deteriorating operating performance at Europe's top carmaker and expected challenges to turn the situation around.
The case for quarter-point U.S. interest-rate cuts at upcoming Federal Reserve policy meetings appeared intact on Friday after a report showed producer prices were unchanged last month compared to the prior month, suggesting inflation continues on track toward the Federal Reserve's target.
Most finance ministers and central bank chiefs from the BRICS group of countries did not attend a high-level meeting in Moscow on Friday ahead of a BRICS summit later this month, sending more junior officials instead, official documents showed.
Price pressures on U.S. producers jumped unexpectedly in September, mirroring a similar trend observed in consumer inflation data reported a day earlier. The Producer Price Index rose more sharply than anticipated in September, and the August reading was upwardly revised.
U.S. producer prices were unchanged in September as a small rise in the cost of services was offset by cheaper goods, pointing to a still-favorable inflation outlook and supporting views that the Federal Reserve would cut interest rates again next month.
* Unemployment rate dips to 6.5% * * Average hourly wage growth slowed to 4.5% By Ismail Shakil and Promit Mukherjee. Canada's economy added a net 46,700 jobs in September and the unemployment rate unexpectedly decreased, data showed on Friday, weakening bets for a 50 basis-point rate cut this month.
- Global investors made large investments in money market funds in the week to Oct. 9 driven by a push back in Federal Reserve rate cut expectations and caution over the Middle East conflict. Investors also channelised capital into liquid money market funds as they awaited a much-anticipated update on Beijing's stimulus measures this weekend.
Global investors made large investments in money market funds in the week to Oct. 9 driven by a push back in Federal Reserve rate cut expectations and caution over the Middle East conflict. Investors also channelised capital into liquid money market funds as they awaited a much-anticipated update on Beijing's stimulus measures this weekend.
Bitcoin's boring price action, characterized by continued accumulation by small investors, is being attributed to several reasons. including the U.S. election uncertainty and renewed uptick in the U.S. Treasury yields.
-JPMorgan Chase (JPM) shares rose nearly 5% on Friday after profit beat expectations in the third quarter, fueled by gains in investment banking and rising interest payments. The prospect of further monetary easing by the Federal Reserve spurred an equities rally during the third quarter, prompting companies to issue debt and equity.
The pound was pinned around a one month low on the dollar on Friday, getting little support from data that showed Britain's economy returned to growth in August. Sterling was last flat on the day on the dollar at $1.3069, just off the $1.3011 hit Thursday, its lowest since mid Sept. It was also flat on the euro, at 83.70 pence to the common currency.
A look at the day ahead in U.S. and global markets from Mike Dolan. Even though futures pricing had already turned queasy before the sticky September inflation report on Thursday, the prospect of the Federal Reserve skipping another interest rate cut next month has now become part of the mix.
A look at the day ahead in U.S. and global markets from Mike Dolan. Even though futures pricing had already turned queasy before the sticky September inflation report on Thursday, the prospect of the Federal Reserve skipping another interest rate cut next month has now become part of the mix.
* Bullion poised for second straight weekly decline. * Silver, platinum head for weekly fall. By Daksh Grover. Gold extended gains after the release of the latest data on U.S. producer prices on Friday, as the U.S. dollar pulled back from two-month highs on heightened expectations for a Federal Reserve rate cut in November. Spot gold rose 0.7% to $2,647.55 per ounce by 1316 GMT.
* Futures down: Dow 0.11%, S&P 500 0.21%, Nasdaq 0.34% U.S. stock index futures edged lower on Friday, ahead of the third-quarter earnings season kickoff, after hotter-than-expected September inflation data solidified expectations for a 25-basis-point rate cut by the Federal Reserve in November.
* BoC likely to lower rates faster than Fed due to weak Canadian growth. * Investors expect BoC policy rate to hit neutral setting in less than one year. * Canadian dollar hits a two-month low amid rate-cut expectations. By Fergal Smith.
China's GDP figures, U.S. retail sales and a rate decision by the European Central Bank headline the coming week, while earnings are under way on both sides of the Atlantic and UK markets get nervy ahead of the new government's first budget.
Japanese government bond yields declined on Friday, tracking U.S. Treasury yields, and easing from multi-week highs hit in the previous session. Data on Thursday showed an increase in U.S. weekly jobless claims and the smallest annual jump in inflation since February 2021, suggesting the Federal Reserve is on track to cut interest rates next month.
* U.S. PPI data due at 1230 GMT. * Palladium set for weekly gains. * Indian gold dealers charge premium after two months. By Ashitha Shivaprasad. Gold climbed on Friday after a higher jobless claims report firmed bets for a Federal Reserve rate cut next month, while investors awaited U.S. Producer Price Index data for further direction.
CLARK, N.J., Oct. 11, 2024 /PRNewswire/ -- The GEP Global Supply Chain Volatility Index?? a leading indicator tracking demand conditions, shortages, transportation costs, inventories and backlogs based on a monthly survey of 27,000 businesses ? decreased in September to -0.43, its lowest level in 14 months and indicating the greatest level of global supply chain spare capacity since July 2023.
Finance Minister Katsunobu Kato said on Friday he would attend meetings of financial leaders from the Group of Seven and Group of 20 economic powers, as well as the International Monetary Fund and World Bank gatherings later this month. Speaking to reporters in a news conference, Kato said he would travel to Washington Oct. 23-27 to attend those meetings.
Gold prices edged higher on Friday after recent data supported bets for a Federal Reserve interest rate cut next month, while market participants focussed on the U.S. Producer Price Index report for further direction. FUNDAMENTALS. * Spot gold rose 0.3% to $2,636.13 per ounce by 0153 GMT but was down about 0.6% for the week. * The dollar index fell from two-month highs.
Global stocks rose on Friday, lifted by U.S. bank earnings, and on track for a weekly gain while U.S. Treasury yields were mostly lower after inflation and consumer confidence reports solidified expectations for the path of Federal Reserve rate cuts.
The U.S. dollar fell from two-month highs hit overnight versus its major peers after signs of weakness in the labour market boosted the case for quicker Federal Reserve rate cuts.
Warren Buffett's Berkshire Hathaway (BRK/A) has raised 281.8 billion yen in a yen-denominated bond offer, a move analysts say lays the ground for the U.S investment company to increase its exposure to Japanese assets. The deal was the largest bond sale in the Japanese currency for the firm in five years, a term sheet reviewed by Reuters on Thursday showed.
- Warren Buffett's Berkshire Hathaway (BRK/A) has raised 281.8 billion yen in a yen-denominated bond offer, a move analysts say lays the ground for the U.S investment company to increase its exposure to Japanese assets. The deal was the largest bond sale in the Japanese currency for the firm in five years, a term sheet reviewed by Reuters on Thursday showed.
KinderCare Learning Companies Inc (KLC) : * MOODY'S RATINGS: UPGRADES KINDERCARE'S CFR TO B2 FOLLOWING IPO DEBT PAYDOWN Source text for Eikon: Further company coverage:
South Korea's central bank cut interest rates for the first time since mid-2020 on Friday and flagged there was room to reduce further, giving some relief to households that have faced the highest borrowing costs in 16 years.
Peru's central bank unexpectedly held the benchmark interest rate at 5.25% on Thursday, after two consecutive cuts, cautioning over transitory inflation effects in the final months of the year. The central bank expects a slight increase in year-on-year inflation in the fourth quarter due to a low comparative base in the same period of 2023, it said in a statement.
Peru's central bank held the benchmark interest rate at 5.25% on Thursday, after two consecutive cuts, defying analysts' expectations of a 25-basis-point trim. Peru has one of Latin America's lowest benchmark interest rates, and the central bank said in a statement that future rate changes would be dependent on inflation data and its determinants.
Guggenheim Investments, the global asset management and investment advisory business of Guggenheim Partners, today provided its Fourth Quarter 2024 High Yield and Bank Loan Outlook.
* U.S. CPI slightly above expectations. * * Market views for 25-bp Fed rate cut in November choppy. By Chuck Mikolajczak. Global stocks were little changed while longer-dated U.S. Treasury yields edged up in choppy trading on Thursday as investors weighed the interest rate path from the Federal Reserve after economic data and comments from central bank officials.
* September CPI data higher than expected. * Unemployment claims higher than estimates. * Delta Air Lines (DAL) shares fall after Q3 results. * Energy stocks track oil prices higher. * Banks to kick off Q3 earnings season on Friday. * Indexes: Dow down 0.14%, S&P 500 off 0.21, Nasdaq down 0.05% By Sin?ad Carew and Lisa Pauline Mattackal.
* U.S. inflation annual rise smallest since February 2021. * U.S. jobless claims rise in latest week. * U.S. yield curve steepens post-data. * U.S. rate futures price in 91% chance of 25-bp cut in November. * U.S. 30-year bond auction shows strong results. By Gertrude Chavez-Dreyfuss.
Improving market dynamics have provided relief, indicating confidence in both domestic and global economic conditions Dun & Bradstreet (DNB), a leading global provider of business decisioning data and analytics, today released its Q4 2024 Global Business Optimism Insights report.
Peru's sol depreciated the most among
Latin American currencies on Thursday, with traders pricing in
an interest rate cut by the domestic central bank, while
Colombia's peso firmed, ...
The U.S. dollar slipped
against the yen on Thursday as investors weighed data showing
labor market weakness as well as a slight uptick in consumer
prices, suggesting that the Federal Reserve will ...
- Wall Street's biggest banks expect the Federal Reserve to end the process of shrinking its balance sheet next April, holding the line relative to what they told the central bank in July.
Analysts remain divided about what the stronger-than-expected consumer price index will mean for Federal Reserve policymakers since the Fed appears to be concentrating on the labor market.
In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.
Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.
Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.
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