The Russian central bank said on Monday it had filed a second claim with the General Court of the European Union, challenging the EU regulation that allows the use of Russia's frozen sovereign assets to repay the EU's loan to Ukraine.
National Bank of Canada on Monday reiterated its outperform rating on the shares of Agnico Eagle Mines (AEM) and its C$350.00 price target after the company decided to go ahead with development of the Hope Bay mine in Nunavut.
National Bank of Canada on Monday maintained its outperform rating on the shares of Pembina Pipeline (PBA) an its C$63.00 price target after the company decided to proceed with the Heartland Extraction Plant.
Two Bank of Canada events might garner some attention this week, said Scotiabank. External Part-Time Deputy Governor Nicolas Vincent speaks on "the labour market and structural change in the Canadian economy" on Tuesday. Then two days later, Governor Tiff Macklem unveils the semi-annual Financial Stability Report and Financial System Survey, noted the bank.
Mozambique's central bank left its main interest rate unchanged at 9.25% on Monday. Governor Rogerio Zandamela told a press conference that the decision reflected high levels of uncertainty over the length of the Iran war and its impact on supply chains and prices of fuel and food.
The Bank of Israel lowered short-term interest rates for the third time in six months on Monday as inflation remained contained despite a war with Iran, while the shekel stands at a three-decade high against the dollar.
Euro zone government bond yields fell to their lowest levels in about a month on Monday as renewed hopes of a U.S.-Iran deal to reopen the Strait of Hormuz eased concerns over inflation and reduced expectations of aggressive central bank policy tightening. Diplomatic efforts to resolve the Iran war seemingly continued after Iran and the United States played down hopes for an imminent breakthrough.
Prominent economist Mohamed A. El-Erian is warning about a shift in market dynamics, warning that investors can no longer count on traditional central bank interventions to rescue underperforming assets. According to a Substack post by El-Erian, the global economy has entered a complex environment where traditional safety nets are fading.
Statistics Canada will release on Friday the gross domestic product figures for Q1 on a complete expenditure accounts basis, plus monthly GDP estimates for March, April, and any revisions to prior months, said Scotiabank. They will be backward-looking, but a round of GDP figures will help the bank understand more about the momentum into the commodities shock.
Canada's key release this week is the Q1 real gross domestic product on Friday, said Bank of Montreal. Q1 GDP looks to rebound 1.5% annualized after contracting modestly in Q4, noted the bank.
Canadian financial markets seemingly "exhaled" a bit last week, "catalyzed" by constructive developments for the inflation backdrop, said TD. One important trigger was messaging that a United States-Iran deal may be in its final stages, noted the bank. The other major catalyst was an April inflation report that was soft at its core. Markets were braced for a "3-handle" on inflation last month.
Canada will release gross domestic product data for Q1 on Friday, said RBC. Canada's economy likely returned to growth in Q1 with GDP bouncing back by an annualized 1.7% after declining 0.6% in Q4, supported by improving domestic growth drivers, noted the bank.
* Oil prices fall below $100 a barrel. * Dollar eases as investors move out of the safe-haven currency. * US markets closed for Memorial Day holiday. By Noel John. Gold rose more than 1% on Monday as hopes of a peace deal to end the Iran war sent the dollar and oil prices lower, easing fears of inflation and higher-for-longer interest rates.
By Howard Schneider and Jacob Bogage. Former U.S. Federal Reserve Chair Jerome Powell was a handy foil for President Donald Trump, a target of blame for everything from high mortgage interest rates to the pace of economic growth.
By Howard Schneider and Jacob Bogage. Former U.S. Federal Reserve Chair Jerome Powell was a handy foil for President Donald Trump, a target of blame for everything from high mortgage interest rates to the pace of economic growth.
Euro zone government bond yields fell on Monday as renewed hopes of a U.S.-Iran deal to reopen the Strait of Hormuz eased concerns over inflation and reduced expectations of aggressive central bank policy tightening. Borrowing costs tracked moves in oil prices, which slid 5% amid optimism over a resolution of the conflict, even as key sticking points remained unresolved.
Euro zone government bond yields fell on Monday as renewed hopes of a U.S.-Iran deal to reopen the Strait of Hormuz eased concerns over inflation and reduced expectations of aggressive central bank rate rises.
* U.S. blockade on Hormuz to stay until agreement with Iran: Trump. * Oil prices fall to two-week low. * Kevin Warsh sworn in as U.S. Fed Chair. By Pablo Sinha. Gold prices rose more than 1% on Monday, as optimism for a breakthrough in U.S.-Iran peace negotiations weakened the dollar and eased oil prices, which softened the inflation outlook.
* U.S. blockade on Hormuz to stay until agreement with Iran: Trump. * Oil prices fall to two-week low. * Kevin Warsh sworn in as U.S. Fed Chair. By Pablo Sinha. Gold prices rose more than 1% on Monday, supported by a weaker dollar and easing oil prices, as investors weighed prospects of a breakthrough in U.S.-Iran peace negotiations. Spot gold was up 1.1% at $4,559.29 per ounce, as of 0359 GMT.
Gold prices rose more than 1% on Monday, supported by a weaker dollar and lower oil prices, as investors weighed prospects of a breakthrough in U.S.-Iran peace negotiations. FUNDAMENTALS. * Spot gold rose 1.4% to $4,570.88 per ounce by 0045 GMT. * The dollar fell, making greenback-priced bullion more affordable for holders of other currencies.
* PCE inflation gauge due on Thursday. * Salesforce (CRM), Costco, Best Buy (BBY) among reports due as robust Q1 comes to end. * Bond market selloff in view as Treasury yields hit milestones. By Lewis Krauskopf.
Bangladesh's central bank on Saturday announced a 600 billion taka stimulus package to revive shuttered factories and support businesses as economic growth slows.
* European stocks end at highest in over a month. * Dollar holds higher; oil prices settle up. * Dow posts record closing high for second day. By Caroline Valetkevitch and Stefano Rebaudo. Major stock indexes rose and Treasury yields eased on Friday as investors weighed the likelihood of a near-term deal to end the U.S.-Israeli war with Iran.
Shorter-dated U.S. Treasury yields shot up on Friday as investors digested data pointing to all-time low U.S. consumer sentiment in May. The two-year Treasury note yield, which typically moves in step with interest rate expectations for the Federal Reserve, was last up 4.4 basis points at 4.123%. Five-year Treasury yields were up 1.3 bps at 4.255%, while the yield on the benchmark 10-year Treas...
The U.S. Federal Reserve on Friday said Kevin Warsh had taken the oath of office as chairman and member of the Board of Governors, and that its interest-rate-setting Federal Open Market Committee had unanimously selected him as its chairman. Warsh earlier on Friday was sworn into office at the White House by President Donald Trump.
A pair of U.S. banking regulators have signed off on plans submitted by the nation's largest banks detailing how they could be safely unwound in bankruptcy. The Federal Reserve and Federal Deposit Insurance Corporation did not identify any shortcomings in the so-called "living wills" of the nation's 8 largest banks and 56 foreign banking organizations.
* US stocks higher. * European stocks end at highest in over a month. * Dollar holds higher; oil prices settle up. By Caroline Valetkevitch and Stefano Rebaudo. Major stock indexes rose and Treasury yields eased on Friday as investors weighed the likelihood of a near-term deal to end the U.S. and Israeli war on Iran. Oil prices gained as much uncertainty surrounding the Iran talks remained.
* PC makers Dell, HP surge after Lenovo (LNVGF) reports revenue jump. * Est?e Lauder climbs after ending merger talks with Puig. * Kevin Warsh sworn in as Fed chair. * S&P 500 eyes 8th weekly gain, longest streak since December 2023. * Indexes up: Dow 0.86%, S&P 500 0.62%, Nasdaq 0.50% By Chibuike Oguh, Shashwat Chauhan and Medha Singh.
President Donald Trump told the room he wants Kevin Warsh ?totally independent? as he swore him in as Federal Reserve chairman Friday, then spent the next hour arguing the economy can boom without inflation. The price data has other ideas.
Newly Sworn-In Fed Chair Kevin Warsh was sworn in, saying that he intends to be reform-oriented and abandoning old models that were not serving the Fed's mission. Fed Governor Christopher Waller suggested that the Fed's policy rate could remain on hold for some time, indicating that the risks are tilting back toward inflation.
The University of Michigan consumer sentiment index for May was revised lower to a record low 44.8 from the preliminary estimate of 48.2 and was well below April's reading of 49.8. Michigan said that inflation expectations increased in May, lifting cost-of-living concerns. The Kansas City Fed's services index rose to 10 in May from 3 in April.
Kevin Warsh took charge of the Federal Reserve on Friday, replacing former Chair Jerome Powell amid growing signs of division at the central bank as inflation heats up. Warsh, who served as a governor on the Fed's board from 2006 to 2011, is US President Donald Trump's pick to lead the institution.
Kevin Warsh was sworn in as chair of the US Federal Reserve in a ceremony at the White House, multiple media outlets reported Friday. Warsh returns to the Fed after serving as a board member from 2006 to 2011, according to the reports.
* US stocks higher in late morning. * European stocks also higher. * Dollar holds near six-week high. By Caroline Valetkevitch and Stefano Rebaudo. Major stock indexes rose and Treasury yields eased on Friday as investors weighed the likelihood of a near-term deal to end the U.S. and Israeli war on Iran. Oil prices gained as much uncertainty surrounding the Iran talks remained.
US consumer sentiment declined to a fresh record low in May as people fear that high gasoline prices could erode their purchasing power, University of Michigan said Friday. The main sentiment index tumbled 10% to 44.8 from last month.
* Warsh pledges to lead 'reform-oriented' Fed. * Trump promises 'full support' of administration. * Warsh facing pressure from markets, colleagues, over rate decisions. * Fed's Waller ready to axe 'easing bias' * Warsh unanimously selected by Fed's policy-setting panel as its chair. By Howard Schneider and Ann Saphir.
* FTSE 100 up 0.22%, FTSE 250 rises 0.96% * Data prompts traders to reassess rate hike bets. * Political uncertainty remains in focus. UK's blue-chip FTSE 100 index ended a four-week losing streak after data released this week weakened expectations of a Bank of England rate hike, giving relief to investors unsettled by political uncertainty.
U.S. President Donald Trump said on Friday at a swearing-in ceremony for Kevin Warsh that increases in the stock market mean investors like the incoming Fed Chair.
U.S. President Donald Trump on Friday said that he wanted incoming Fed Chair Kevin Warsh to be "totally independent" in his new role. "Don't look at me, don't look at anybody, just do your own thing and do a great job," Trump said at a swearing-in ceremony at the White House.
European stock markets closed higher Friday as the Stoxx Europe 600 rose 0.7%, Germany's DAX 40 climbed 1.2%, the FTSE 100 gained 0.2%, and France's CAC 40 and the Swiss Market Index each advanced 0.4%. Semiconductor stocks rallied on the continent as Infineon rose 8% in Frankfurt, STMicroelectronics gained 4.7% in Paris, and ASML increased 4.5% in Amsterdam.
* PC makers Dell, HP surge after Lenovo (LNVGF) reports revenue jump. * Est?e Lauder climbs after ending merger talks with Puig. * Kevin Warsh to be sworn in as Fed chair later in the day. * S&P 500 eyes eighth weekly gain, best streak since December 2023. * Indexes up: Dow 0.82%, S&P 500 0.65%, Nasdaq 0.67% By Shashwat Chauhan and Medha Singh.
National Bank of Canada on Friday reiterated its outperform rating on the shares of Osisko Development (OSDVF) with a C$8.00 price target as it came off restriction after the miner priced a US$275.0 million notes offering.
* Gold falls 1% * US consumer sentiment plunges to record low. By Ishaan Arora. Gold fell on Friday and was headed for its second straight weekly loss, pulled lower by a stronger dollar and rising oil prices that kept inflation concerns in focus and increased bets for a U.S. interest rate hike. Spot gold was down 0.9% at $4,502.59 per ounce, by 1457 GMT, after falling 1% earlier in the session.
U.S. Federal Reserve Governor Christopher Waller said it would be "crazy" for the Fed to contemplate rate cuts in the near future, with inflation stuck above target and the job market seeming more stable than it did earlier in the year. "It's just kind of crazy to say you could start talking about rate cuts in the near future," Waller said.
Amex Exploration (AMXEF) is now off restriction at National Bank of Canada after the company closed a C$59 million private placement, the bank said Thursday. The bank gave Amex an outperform rating and C$6.50 price target.
U.S. consumer sentiment fell to a record low in May as surging gasoline prices linked to the Iran war intensified affordability concerns, highlighting broader dissatisfaction with President Donald Trump's handling of the economy. The University of Michigan's Surveys of Consumers on Friday showed sentiment among Republicans and Independents dropped to the lowest level of Trump's second term.
Federal Reserve Governor Christopher Waller, an influential voice in policymaking who until recently had advocated for lower interest rates, on Friday said the Fed should axe the "easing bias" from its policy statement and effectively open the door to a possible rate hike.
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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