Federal Reserve Bank of Philadelphia President Anna Paulson said Friday her main concern right now is the state of the job market, in remarks that also said the current state of monetary policy should help bring down inflation to the Fed's 2% target.
Federal Reserve officials who voted against the U.S. central bank's interest rate cut this week said on Friday they are worried that inflation remains too high to warrant lower borrowing costs, particularly given the lack of recent official data about the pace of price increases.
Federal Reserve Bank of Philadelphia President Anna Paulson said Friday her main concern right now is the state of the job market, in remarks that also said the current state of monetary policy should help bring down inflation to the Fed's 2% target.
U.S. investors bought equity funds for the first time in three weeks in the week through December 10 in anticipation of a policy rate cut by the Federal Reserve on Wednesday. They purchased a net $3.3 billion worth of U.S. equity funds during the week, closely reversing a net $3.52 billion outflow the prior week, LSEG Lipper data showed.
U.S. investors bought equity funds for the first time in three weeks in the week through December 10 in anticipation of a policy rate cut by the Federal Reserve on Wednesday. They purchased a net $3.3 billion worth of U.S. equity funds during the week, closely reversing a net $3.52 billion outflow the prior week, LSEG Lipper data showed.
Global equity funds attracted significant inflows in the week to December 10 as investors positioned for a potential Federal Reserve rate cut, despite lingering concerns over stretched tech valuations and heavy AI-related spending.
Global equity funds attracted significant inflows in the week to December 10 as investors positioned for a potential Federal Reserve rate cut, despite lingering concerns over stretched tech valuations and heavy AI-related spending.
* Euro and sterling rise as dollar weakens. * UK GDP data in focus. * Fed's less hawkish stance drags dollar. * Markets diverge from policymakers on rate cuts for next year. By Joice Alves.
* FTSE 100 up 0.3%; FTMC up 0.7% * Gold, silver miners soar on rate-cut hopes. * Weak UK GDP data fuels rate-cut bets. The main UK stock indexes rose on Friday, with a gauge of precious metal miners jumping to a record high following a stunning rally in gold and silver prices this year as traders priced in more U.S. interest rate cuts.
Futures for Canada's benchmark stock index edged higher on Friday after the index notched a record closing high in the previous session, in a week filled with highly anticipated central bank meetings. Canada's TSX index ended the prior session at 31,660.73 points, boosted by metal prices and domestic data, while the S&P 500 and Dow also posted record closes.
Everything Mike Dolan and the ROI team are excited to read, watch and listen to over the weekend. From the Editor. Hello Morning Bid readers!?. Federal Reserve Chair Jay Powell buoyed markets by executing that most rare of monetary policy moves:?the dovish 'hawkish cut'.?But the spectre of AI anxiety threatens to hold off a "Santa Claus" rally.
The S&P 500 and the Nasdaq closed down more than 1% on Friday with investors leaving?technology for other sectors as Broadcom (AVGO) and Oracle fueled concerns about an AI bubble and rising U.S. Treasury yields added pressure after some policymakers spoke out against easing monetary policy.
* Futures: Dow up 0.17%, S&P 500 slips 0.20%, Nasdaq off 0.56% Futures tracking the S&P 500 and Nasdaq slid on Friday as chipmaker Broadcom's (AVGO) results sparked fresh worries about a potential artificial intelligence bubble, dampening investor optimism from a less hawkish Federal Reserve monetary policy decision earlier in the week.
Even if overall inflation slows next year as the U.S. Federal Reserve anticipates, President Donald Trump will still face political headwinds over the cost of living with home mortgage rates expected to remain comparatively high, tariff-related price increases on goods seen persisting through the first part of the year, and cost pressures building around items like beef and electricity that can...
* Jobs report due Tuesday, CPI out on Thursday. * Report on economy follows dovish Fed meeting. * S&P 500 hits record high, up 17% in 2025. By Lewis Krauskopf. A host of delayed employment, inflation and other data in the coming week will give a long-anticipated view of the U.S. economy that could help guide markets into year-end.
* EU wants to use frozen Russian assets for loan to Ukraine. * Russian central bank says such a move would be illegal. * EU wants to freeze Russian assets indefinitely. * It currently must roll over the freeze every six months. By Jan Strupczewski.
* Silver hit record high at $64.32/oz. * Weekly jobless claims at 4-1/2-year highs. * Dollar hovers near two-month low. By Pablo Sinha. Gold prices rose to a seven-week high on Friday, bolstered by a soft dollar, expectations of interest rate cuts and safe-haven demand prompted by geopolitical turbulence, while silver hit a record high.
* Euro and sterling rise as dollar weakens. * UK GDP data in focus. * Fed's less hawkish stance drags dollar. * Markets diverge from policymakers on rate cuts for next year. By Joice Alves.
* November new loans at 390 bln yuan, vs forecast 500 bln yuan. * New loans dragged down by weak household borrowing. * November outstanding yuan loan growth at record low. * Chinese leaders pledge more stimulus next year. By Shi Bu and Kevin Yao.
Chinese banks extended 390 billion yuan in new loans in November, up from 220 billion yuan in October but missing expectations, according to Reuters calculations based on data from the People's Bank of China on Friday. The figure was below the 500 billion yuan expected by analysts polled by Reuters and lower than the 580 billion recorded a year earlier.
* German bond yields rise as investors anticipate euro zone rate hike. * ECB not expected to deliver any change in rates. * US rate cuts widen opportunity for euro debt investments, strategists say. By Amanda Cooper.
European Union leaders meet for one last push to secure a deal and fund Ukraine with frozen Russian cash, while the United States releases overdue labour market and retail sales data. Meanwhile, central banks in the euro area, Japan, Britain, Norway, and Sweden hold their last get-together of the year.
The Bank of Japan will likely maintain a pledge next week to keep raising interest rates, but stress the pace of further hikes will depend on how the economy reacts to each increase, said three sources familiar with its thinking.
Yields on benchmark Japanese government bonds rose on Friday as markets anticipated an interest rate hike by the central bank next week. The 10-year JGB yield rose 2.5 basis points to 1.95% on Friday, still down from an 18-year high of 1.97% touched on Monday.
* Euro and sterling rise as dollar weakens. * Fed's less hawkish stance drags dollar. * Markets diverge from policymakers on rate cuts for next year. By Ankur Banerjee.
* Silver hits record high at $64.31/oz on Thursday. * Weekly jobless claims at 4-1/2-year highs. * All metals headed for weekly gains. By Ishaan Arora. Gold prices held near a seven-week high on Friday, supported by expectations of more interest rate cuts next year after the U.S. Federal Reserve pushed back against hawkish market bets, while silver hovered just below Thursday's record peak.
The U.S. dollar rose against major currencies on Friday after falling in recent sessions, but was still on track for its third straight weekly drop amid the prospect of interest rate cuts by the Federal Reserve next year. Sterling also eased after data showed the UK economy unexpectedly shrank in the three months to October.
* Euro and sterling rise as dollar weakens. * Fed's less hawkish stance drags dollar. * Markets diverse from policymakers on rate cuts for next year. By Ankur Banerjee.
Yields on benchmark Japanese government bonds were poised for their first weekly decline in two months on Friday as markets anticipated an interest rate hike by the central bank next week. The 10-year JGB yield rose 0.5 basis point to 1.930% on Friday, but still down from an 18-year high of 1.97% touched on Monday.
Major stock indexes fell on Friday, with technology-related shares dropping again as investors were wary of artificial intelligence bets, while the dollar edged higher and U.S. Treasury yields jumped.
Federal Reserve Chair Jerome Powell admitted on Wednesday that there is still no "risk-free" path for the central bank as it seeks to bring down stubbornly high inflation while also supporting an increasingly creaky labor market.
* Oracle shares fall after quarterly results; Nasdaq down as well. * Dollar down against euro, other currencies in wake of Fed news Wed. * Treasury yields also fall. * Broadcom (AVGO) shares weaker after the bell. By Caroline Valetkevitch.
A subsidiary of the Depository Trust & Clearing Corporation has received a "no action" letter from the U.S. Securities and Exchange Commission to offer a service to tokenize stocks, exchange-traded funds and bonds, which the company plans to roll out next year.
Wall Street was mostly higher on Thursday - the Dow and Russell 2000 indices hit new highs but the Nasdaq fell - while shock U.S. jobless claims figures rekindled concern over the labor market and dragged the dollar and Treasury yields lower. More on that below. If you have more time to read, here are a few articles I recommend to help you make sense of what happened in markets today.
Wall Street was mostly higher on Thursday - the Dow and Russell 2000 indices hit new highs but the Nasdaq fell - while shock U.S. jobless claims figures rekindled concern over the labor market and dragged the dollar and Treasury yields lower. More on that below. If you have more time to read, here are a few articles I recommend to help you make sense of what happened in markets today.
The Federal Reserve on Thursday said 11 of its regional bank presidents had been reappointed to their positions with the unanimous agreement of the U.S. central bank's Board of Governors, wrapping up an ordinarily routine process that had come under heightened scrutiny amid pressure from President Donald Trump and his administration.
The U.S. dollar stumbled
on Thursday, hitting multi-month lows against the euro, Swiss franc,
and sterling and extending losses from the previous session, after the
Federal Reserve delivered a less ...
The Federal Reserve on Thursday said 11 of its regional bank presidents had been reappointed to their positions with the unanimous agreement of the U.S. central bank's Board of Governors, wrapping up an ordinarily routine process that had come under heightened scrutiny amid pressure from President Donald Trump and his administration.
The U.S. Federal Reserve's Board of Governors on Thursday said the system's regional bank presidents had been reappointed to their positions with unanimous agreement of the seven board members. Their new five-year terms will begin on March 1, the Fed said in a statement.
The New York Federal Reserve's operations desk plans to conduct about $14.4 billion in reinvestment purchases and an additional approximately $40 billion in reserve management purchases between December 12 and January 14, it said in a schedule released on Thursday.
The New York Federal Reserve's operations desk plans to conduct about $14.4 billion in reinvestment purchases and an additional approximately $40 billion in reserve management purchases between December 12 and January 14, it said in a schedule released on Thursday.
* Jobless claims rise, volatility attributed to seasonal factors. * 10-yr yield on track for biggest two-day drop in two months. * Markets pricing in 24.4% chance of January Fed cut. By Chuck Mikolajczak.
Latin American assets climbed on Thursday, with regional
currencies on track for their strongest session in eight months
as the dollar weakened following an interest rate cut by the
U.S. Federal ...
* FOMC announced 25-basis points rate cut on Wednesday. * November non-farm payrolls due on December 16. * Silver hits record high at $64.31/oz. By Sarah Qureshi. Gold rose on Thursday to hit its highest level in more than a month after the U.S. Federal Reserve's quarter-point rate cut pushed the dollar lower, while silver surged to a record high.
President Donald Trump was happy to see the Federal Reserve cut interest rates by 25 basis points this week, but wants to see further reductions in borrowing costs, White House spokeswoman Karoline Leavitt told reporters on Thursday. "I know there was a quarter-point reduction this past week, and the president was pleased to see that, but he thinks more should be done," Leavitt said.
The number of Americans filing new applications for unemployment benefits increased by the most in nearly 4-1/2 years last week, but the surge likely does not suggest a material weakening in labor market conditions, as the claims data are volatile around this time of year.
Democratic Senator Elizabeth Warren labeled President Donald Trump's top contenders to lead the Federal Reserve "sock puppets" on Thursday, singling out Kevin Hassett as someone who would not be able to maintain the U.S. central bank's independence. "The president is looking for someone who will do his bidding," Warren said in an interview with CNBC.
* Indexes: Dow up 1%, S&P 500 off 0.34%, Nasdaq down 1.05% * AI bubble fears impact crypto and tech stocks. * Investors assess weekly jobless claims report. * Fed's rate cut brings optimism, but future rate path uncertain. By Johann M Cherian and Pranav Kashyap.
The S&P 500?and the Dow boasted record closing highs on Thursday as investors favored financial stocks after a Federal Reserve policy update that was less hawkish than expected while the tech-heavy Nasdaq Composite underperformed as Oracle's financial update made investors wary of artificial intelligence bets.
* FOMC announced 25-basis points rate cut on Wednesday. * November non-farm payrolls due on December 16. * Silver hits record high at $63.93/oz. By Sarah Qureshi. Dec 11 - Gold rose on Thursday to hit its highest level in more than a month after the U.S. Federal Reserve's quarter-point rate cut pushed the dollar lower, while silver surged to a fresh record high.
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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