Bond investors are bracing for an extended pause in the Federal Reserve's rate-cutting cycle as they edge into slightly riskier trades, driven by a resilient economy and fresh U.S. fiscal stimulus plans that are likely to boost consumer spending this year.
Demand for US durable goods rebounded more than projected in November, as orders for commercial aircrafts almost doubled, delayed official data showed Monday. Orders for tangible items with an average life of at least three years rose 5.3% sequentially to about $323.79 billion in November, following a revised 2.1% drop the prior month, the Census Bureau said.
Societe Generale expects Brazil's central bank to keep rates unchanged on Wednesday. SocGen also predicts Chile's central bank to hold rates on Tuesday. Colombia's central bank is forecast to lift its overnight lending rate by 50bps to 9.75% on Friday, according to SocGen. MT Newswires does not provide investment advice.
The Canadian gross domestic product for November will be released on Friday at 8:30 a.m. ET, said National Bank of Canada. The release of the November GDP data will be "closely watched," noted the bank.
The Toronto Stock Exchange is up 126 points, led by strong gains in miners and tech stocks. Industrials, down 0.7%, is the biggest decliner. On the economics front, BMO Economics notes the Bank of Canada makes its policy announcement on Wednesday, and is widely expected to keep rates steady. This policy statement will include a Monetary Policy Report, with a fresh set of forecasts.
KBRA is pleased to announce the assignment of preliminary ratings to three classes of FREMF Series 2026-K176 mortgage pass-through certificates and three classes of Freddie-Mac structured pass-through certificates, Series K-176. The underlying transaction is collateralized by 49 fixed-rate multifamily mortgage loans.
Morgan Stanley said it expects South Africa's central bank to favor a dovish hold in a four-to-two split vote in the Monetary Policy Committee at Thursday's meeting. In the bank's view, the next policy rate cut will materialize in March 2026 with a 25bps reduction. MT Newswires does not provide investment advice.
The Bank of Canada will fire off everything it has by way of communication tools on Wednesday, but in the end, not do anything, said Scotiabank ahead of this week's policy meeting. Nothing by way of immediate actions, that is, but they may help to further inform key questions concerning their forward bias as it feeds into cut, hold, rate hike debates, noted the bank.
Morgan Stanley said it expects the Bank of Canada to remain on hold at Wednesday's policy meeting. The labor market data has shown stabilization and inflation measures are running within the BoC's target range, wroet the bank in a note to clients.
November's international trade balance for Canada on Thursday will be closely watched for implications on Q4 2025 gross domestic product growth, said RBC. Net trade is currently tracking a significant boost to Canaian GDP growth in Q4, noted the bank.
* Yen rallies 1.3%, hits more than two-month high. * NY Fed rate check drove Friday surge in Japanese currency. * Investors await Federal Reserve meeting, possible chair announcement. * Worries about U.S. government shutdown pressure USD. By Saqib Iqbal Ahmed and Samuel Indyk.
Jersey Hired, the Garden State?s leading hyper-local job board and talent platform, today released a comprehensive summary of the latest New Jersey labor market data. According to the latest figures from the U.S. Bureau of Labor Statistics and the New Jersey Department of Labor, the state added 5,700 jobs in December.
The Bank of Canada is set to leave its overnight target unchanged at 2.25% on Wednesday, a decision widely expected by forecasters and OIS markets, said National Bank of Canada. This would mark the second consecutive hold after policymakers declared in October that policy is at "about the right level" to keep inflation near target and support the economy's transition.
* Core capital goods orders increase 0.7% in November. * Shipments of core capital goods rise 0.4% * Surge in aircraft demand boosts overall durable goods orders. By Lucia Mutikani. New orders for key U.S.-manufactured capital goods increased more than expected in November, indicating business spending on equipment maintained a steady growth pace in the fourth quarter.
The S&P 500 and the Dow opened slightly ?higher on Monday, as ?investors braced for ?a heavyweight run ?of ?earnings along with a ?closely watched ?Federal Reserve monetary policy decision ?later ?in ?the week.
The S&P 500 and the Dow opened slightly higher ?on Monday, as ?investors braced for ?a heavyweight run ?of ?earnings along with a ?closely ?watched Federal Reserve monetary policy decision ?later in ?the ?week.
Gold didn't rally on CPI prints. Call it the Greenland Tax. For decades, gold traded on interest rates and real yields. Greenland shouldn't move trillion-dollar markets. Gold is reacting to the weaponization of geography?not to inflation. In this regime, gold isn't just a metal. Each territorial flare-up, tariff threat, or alliance fracture adds an invisible premium to bullion.
Velocity Financial (VEL) reported preliminary Q4 earnings Monday of at least $0.90 per share, up at least 56% from a year earlier. A single analyst polled by FactSet expects $0.70. The real estate finance company said separately that it plans to offer up to $500 million in senior notes due 2031.
Multiple municipal bond offerings this week have a high exposure to climate risk, specifically high Flood and Hurricane Scores, according to ICE Climate Data. A $9 million offering from East Grand Forks Public School District, Minn., records a Flood Score of 4.1 out of 5.0, ICE reports.
Pakistan's central bank Monay said its Monetary Policy Committee decided to keep the policy rate unchanged at 10.5%. The MPC deemed it "prudent" to hold the policy rate unchanged at the current level to ensure price stability and support sustainable economic growth, wrote the central bank in its policy statement.
With a GDP exceeding USD 145 billion, exports of USD 33.4 billion up 23 percent, and gold reserves surpassing USD 60 billion, Uzbekistan enters 2026 with solid and steadily strengthening macroeconomic indicators. For the current year, the Government forecasts economic growth of 6.6 percent, with GDP estimated at USD 167 billion. Special emphasis will be placed on the digital economy.
BioMarin Pharmaceutical (BMRN) said Monday that it plans to launch an $850 million offering of senior unsecured notes due 2034. The company said it has also launched the syndication of a new $2 billion senior secured term loan B facility in connection with the pending acquisition of Amicus Therapeutics.
The US dollar fell against its major trading partners early Monday as focus turns to the policy setting two-day Federal Open Market Committee meeting conclusion Wednesday and the potential for another government shutdown at the end of the week.
* Yen rallies 1.4%, hits more than two-month high. * NY Fed rate check drove Friday surge in Japanese currency. * Investors await Federal Reserve meeting, possible chair announcement. By Samuel Indyk and Gregor Stuart Hunter.
Onity Group Inc. (ONIT) today announced that its subsidiaries PHH Corporation and PHH Escrow Issuer LLC launched an offering of $150 million aggregate principal amount of 9.875% Senior Notes due 2029, subject to market and other conditions.
The TSX equity index plunged early last week on tensions between Europe and the United States over Greenland, said TD. It staged a relief rally, more than fully recouping those losses after President Donald Trump eased fears of military action in the region and a renewed trade war with Europe.
The benchmark US stock measures were pointing lower before the opening bell Monday as traders await earnings from major technology companies and a key policy decision by the Federal Reserve later in the week. The S&P 500 declined 0.2%, the Dow Jones Industrial Average was slightly in the red and the Nasdaq decreased 0.3% in premarket activity.
MKS Inc. (MKSI) today announced that it intends to offer ?1.0 billion aggregate principal amount of senior notes due 2034 in a private offering. The notes will be unsecured, senior obligations of MKS, and will be guaranteed on a senior unsecured basis by certain subsidiaries of MKS.
* Record $18 billion profit remittances in December, central bank data shows. * New 10% tax on profit remittances starts in January under Lula's administration. * Brazil's current account deficit stable at 3.02% of GDP, financed by direct investment. By Marcela Ayres.
Canada's economic calendar kicks off the week with the Bank of Canada's first meeting of 2026 on Wednesday, where no change to the overnight rate is expected, said RBC. At December's policy meeting, Governor Tiff Macklem reiterated the BoC's holding bias, contingent on moderate growth and stabilizing inflation.
Jan 26 - ?. What matters in U.S. and global markets today. By Mike Dolan, Editor-At-Large, Finance and Markets. Gold seemed unstoppable on Monday as it?topped $5,000 per ounce for the first time ever, vaulting more than 80% over the past 12 months. What's the trigger for the latest surge? Central bank buying and retail speculation also continue to boom. I'll get into all that and more below.
Brazil's current account deficit ?reached ?3.02% of GDP ?in ?2025 ?from 3.03% ?in ?2024, central bank data showed ?on ?Monday. In ?December, the current account ?posted a deficit of $3.363 billion, narrower ?than ?economists' expectations in ?a Reuters poll for a $5.3 billion shortfall.
The S&P 500 and the Nasdaq advanced for a fourth consecutive session on Monday, as investors geared up for a slew of mega-cap earnings and a Federal Reserve update on interest rate policy later this week. Both indexes hit their highest levels in more than a week and registered their longest string of advances since December.
Gold prices extended their record-setting rally to surge past $5,100 on Monday as central banks and investors sought refuge from geopolitical risks and Trump-induced market volatility.
The Bank of Canada is widely expected to keep its policy interest rate on hold at 2.25% on Wednesday but economists and money markets are divided over where Canada's monetary policy cycle is headed for the rest of the year due to economic uncertainty. From December, money markets have started betting on odds of a rate hike late this year after a long ?pause for most of the year.
The Federal Reserve is expected to hold interest rates steady this week at a meeting overshadowed by a Trump administration criminal investigation of U.S. central bank chief Jerome Powell, an evolving effort to fire Fed Governor Lisa Cook, and the coming nomination of a successor to take over for Powell in May. Only three scheduled policy meetings remain in Powell's eight-year stint as the worl...
The battle for Federal Reserve independence has already gone up several gears this year, yet the central bank is showing little sign of capitulation - and now it has support from the Supreme Court and senior politicians. Whether that has emboldened the Fed to push back hard on pressure for faster rate cuts will be the key test this week.
* Threats against Powell, Cook's attempted removal put focus on independence. * Fed expected to hold interest rates steady, focus shifts to leadership changes. * Trump to nominate new US central bank chief soon. By Howard Schneider.
US equity investors will focus on a flood of quarterly earnings, including from big tech, while keeping an eye on Federal Reserve policy announcements this week. * The main emphasis will be on Magnificent-7 as the group remains, collectively on an equal weight basis, below its closing level at the end of last year, as reflected by the Roundhill Magnificent Seven ETF.
Societe Generale in its early Monday economic news summary pointed out: -- The US dollar swoons as Japan ups intervention rhetoric, Asia/USD bid led by yen and South Korea's KRW. -- New York Fed checked yen spot rates on Friday, signaling coordination with Japan. -- Week ahead: Federal Reserve, Sweden's Riksbank and Bank of Canada forecast to stand pat.
U.S. Supreme Court justices appear reluctant to grant President Donald Trump's request to let him immediately remove Federal Reserve Governor Lisa Cook.
U.S. Supreme Court justices appear reluctant to grant President Donald Trump's request to let him immediately remove Federal Reserve Governor Lisa Cook.
Bank of Japan money market data on Monday indicated that a spike in the yen rate against ?the dollar on Friday was not likely ?the product of official Japanese intervention. The ?central bank's projection for ?Tuesday's money ?market conditions indicated a 630 billion yen net outflow of ?funds.
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.
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