The Hungarian forint
firmed on Wednesday after the country's central bank
left rates on hold and as investors looked ahead to a potential
deal on releasing European Union funds.
Euro zone banks need to invest more in cybersecurity if they are to get a grip on new AI models that can find flaws in software, the European Central Bank's outgoing Vice President Luis de Guindos said on Wednesday.
Top brokerages expect the benchmark S&P 500 index to extend its rally in 2026, even as the months-long Middle East conflict disrupts global energy flows and drives inflation higher. Strategists at major investment banks expect AI momentum and strong corporate earnings to offset the conflict's short-term economic impact.
The world may need to find a way to get by on less oil and gas if the Strait of Hormuz remains closed much longer due to the U.S.-Israeli war on Iran, Dallas Federal Reserve President Lorie Logan said on Wednesday. Iran has throttled shipping through the strait during the three-month conflict, forcing up energy, food and fertilizer prices.
The world may need to find a way to get by on less oil and gas if the Strait of Hormuz remains closed much longer dueto the U.S.-Israeli war on Iran, Dallas Federal Reserve President Lorie Logan said on Wednesday. Iran has throttled shipping through the strait during the three-month conflict, forcing up energy, food and fertilizer prices.
London copper prices rose to a near two-week high on Wednesday, as lower oil prices eased fears of inflation and slowing economic growth, while aluminium steadied near its highest level in more than four years on supply concerns. Three-month copper on the London Metal Exchange was up 0.3% at $13,660.50 a metric ton by 0701 GMT, after hitting its highest since May 15 earlier in the session.
Pressures on central bank independence are likely to grow as public dissatisfaction over supply-shock-driven inflation may tempt politicians to assign blame to central banks, former Federal Reserve executive Donald Kohn said on Wednesday.
By Stefano Rebaudo Euro zone government bond yields fell on Wednesday after rising the previous day, as investors continued to expect two European Central Bank rate hikes this year amid uncertainty over U.S.-Iran tensions. Money markets are pricing the ECB deposit rate at 2.59% by December, up from the current 2% but down from the 2.75% level priced in last week.
* Public discontent may tempt politicians to blame central banks. * Pressure on central bank independence to grow. * Kohn calls for clear communication, less reliance on models. * Central banks must focus on creating economic narratives. By Leika Kihara.
Japanese government bond yields fell on Wednesday as the market awaited clearer signals for whether the Bank of Japan will raise interest rates as early as June, while improved appetite for debt supported the super long end.
* U.S. inflation risks higher than risk of worsening job market. * Most of recent US data showing inflationary risks are higher. * Far too soon to predict timing of next Fed policy shift. * Iran war sent 'inflationary shockwave' globally that may persist. By Leika Kihara.
A look at the day ahead in European and global markets from Rocky Swift. While markets appear to be looking past the Middle East crisis and the havoc it has wreaked on energy supplies, central bankers are signalling that the inflationary damage is already done. Share markets in Japan and South Korea surged to fresh records, riding AI optimism that sent U.S. benchmarks to all-time highs.
A look at the day ahead in European and global markets from Rocky Swift. While markets appear to be looking past the Middle East crisis and the havoc it has wreaked on energy supplies, central bankers are signalling that the inflationary damage is already done. Share markets in Japan and South Korea surged to fresh records, riding AI optimism that sent U.S. benchmarks to all-time highs.
* Iran says US violated ceasefire agreement. * US Secretary of State says Iran deal could take a few days. * US PCE data due on Thursday. By Pablo Sinha. Gold prices edged lower on Wednesday as investors assessed ongoing tensions between the U.S. and Iran, and awaited comments from Federal Reserve officials for monetary policy clues. Spot gold was down 0.1% at $4,502.25 per ounce, as of 0412 GMT.
London copper prices rose to a near two-week high on Wednesday, as lower oil prices eased fears of inflation and slowing economic growth, while aluminum hovered near its highest level in more than four years on supply concerns. Three-month copper on the London Metal Exchange was up 0.5% at $13,688.50 a metric ton by 0334 GMT, after hitting its highest since May 15 earlier in the session.
* RBNZ holds rates at 2.25% in split decision; governor casts deciding vote. * RBNZ warns rates may go up sooner and by more than expected to counter energy shock. * Markets price in tighter policy path as inflation outlook worsens. * NZ dollar jumps, swaps up 5 basis points as traders brace for hikes ahead. By Stella Qiu and Lucy Craymer.
New Zealand's central bank held rates steady on Wednesday, but a split vote underscored a knife-edge decision, as policymakers warned rates will need to rise sooner and by more than expected to counter an energy shock rippling through the global economy.
Gold ticked up on Wednesday, supported by a weaker dollar, as investors looked for signs of progress in peace negotiations between the United States and Iran and assessed the U.S. Federal Reserve's monetary policy outlook. FUNDAMENTALS. * Spot gold rose 0.2% at $4,516.76 per ounce, as of 0051 GMT. * The dollar eased, making greenback-priced bullion more affordable for holders of other currencies.
* Central bankers signal inflation concerns. * Japan's Nikkei hits record after Wall Street gains on AI optimism. * New Zealand dollar subdued ahead of expected central bank rate hold. By Rocky Swift Asian shares rose while oil prices remained elevated on Wednesday as markets looked for signals that a shaky truce between the United States and Iran will be extended.
Russia has passed a law allowing its central bank and other financial institutions to operate defence systems and arm staff to ward off drone attacks without special forces involvement, a document published by the lower house of parliament showed on Tuesday.
World stocks, the S&P 500 and Nasdaq rose to new highs on Tuesday, driven again by an unyielding optimism around artificial intelligence that lifted U.S. chipmaker Micron Technology into the $1 trillion club and offset uncertainty around a U.S.-Iran peace deal. In my column today, I look at how the steep selloff in U.S. Treasuries has made some corporate bonds more appealing than sovereign debt.
World stocks, the S&P 500 and Nasdaq rose to new highs on Tuesday, driven again by an unyielding optimism around artificial intelligence that lifted U.S. chipmaker Micron Technology into the $1 trillion club and offset uncertainty around a U.S.-Iran peace deal. In my column today, I look at how the steep selloff in U.S. Treasuries has made some corporate bonds more appealing than sovereign debt.
* Chip prices surge, putting Nasdaq out front. * Brent crude rises, WTI falls as US strikes on Iran dampen peace hopes. * ECB's Isabel Schnabel signals need for rate hike in June regardless of peace progress. * US Treasury yields fall as inflation worries ebb. By Stephen Culp.
Viridian Therapeutics (VRDN) said on Tuesday it has signed a manufacturing agreement with WuXi
Biologics (WXIBF) to support commercial supply of its experimental drug if approved. * WuXi
Biologics (WXIBF) will make and supply both the drug substance and final product for veligrotug, Viridian's treatment for thyroid eye disease, a condition that causes eye swelling and vision problems.
Yields on U.S. government bonds held to lower levelson Tuesday, as hopes for a breakthrough deal to reopen the Strait of Hormuz had investors relaxing a bit about the inflation outlook at the start of a holiday-shortened week featuring major U.S. economic data releases.
* Dollar rises against euro and Swiss franc. * Iran says U.S. has violated ceasefire after fresh U.S. attacks. * Prospect of Strait of Hormuz reopening had lifted risk appetite. * Safe-haven dollar finds favour as investors turn more cautious. By Chibuike Oguh.
* U.S. strikes in Iran spark renewed Middle East. * Strait of Hormuz shipping remains restricted, some tankers pass amid ongoing risks. * U.S. consumer confidence dips as inflation fears rise due to Iran conflict. * U.S. futures fall, catching up to Brent's Monday selloff. By Scott DiSavino.
* Consumer confidence index decreases 0.7 points to 93.1 in May. * Share of consumers viewing jobs as not plentiful at highest level since 2021. * Consumers' write-in responses on factors affecting the economy continued to skew towards pessimism. By Lucia Mutikani.
* Canadian dollar falls 0.1% against the greenback. * Trades in a range of 1.3800 to 1.3821 per U.S. dollar. * Price of oil declines 2.6% * Bond yields rise across the curve. By Fergal Smith. The Canadian dollar edged lower against its U.S. counterpart on Tuesday as investors weighed comments by a senior Bank of Canada policymaker and looked ahead to quarterly GDP data at the end of the week.
* Brent crude oil rose more than 4% * US Personal Consumption Expenditures data due on Thursday. * UBS lowers year-end gold price target. By Anjana Anil. Gold fell more than 1% on Tuesday, pressured by bets of higher U.S. interest rates this yearas renewed U.S. military strikes on Iran dampened hopes for a peace deal, pushed up oil prices and revived inflation concerns.
* Iran says U.S. has violated ceasefire after fresh U.S. attacks. * Dollar rises against Euro and Swiss franc. * Prospect of Strait of Hormuz reopening had lifted risk appetite. * Safe-haven dollar finds favour as investors turn more cautious. By Chibuike Oguh.
* Chip prices surge, putting Nasdaq outfront. * Brent crude rises, WTI falls as U.S. strikes in Iran dampen peace hopes. * ECB's Isabel Schnabel signals need for rate hike in June regardless of peace progress. * U.S. Treasury yields rise as inflation worries ebb. By Stephen Culp.
U.S. consumer confidence eased in May as worries about inflation linked to the war in Iran intensified and households' views of the labor market were largely pessimistic, though they anticipated an improvement by the end of this year.
U.S. consumer confidence eased in May as worries about inflation linked to the war with Iran intensified, offsetting an improvement in households' perceptions of the labor market, a survey showed on Tuesday. "Consumer confidence edged downward in May as the inflationary impacts of the war in the Middle East intensified," said Dana Peterson, chief economist at the Conference Board.
Yields on U.S. government bonds fell Tuesday, as hopes for a breakthrough deal to reopen the Strait of Hormuz had investors relaxing a bit about the inflation outlook, ahead of a busy day of debt auctions headlined by a two-year sale. U.S. President Donald Trump on Monday had signaled negotiations to end the conflict with Iran were proceeding "nicely."
* Brent crude oil rose more than 3% * US Personal Consumption Expenditures data due on Thursday. * UBS lowers year-end gold price target. By Anjana Anil. Gold fell more than 1% on Tuesday on bets of higher U.S. interest rates this year, with U.S. military strikes on Iran dialing back hopes of a peace deal, elevating oil prices, and bringing inflation concerns to the forefront.
U.S. single-family house prices edged up in March, but further increases are unlikely as the war with Iran pushes mortgage rates higher, dampening housing demand. House prices gained 0.1% after a downwardly revised 0.1% dip in February, the Federal Housing Finance Agency said on Tuesday. They increased 1.7% in the 12 months through March, after rising by the same margin in February.
The Bank of Canada on Tuesday said structural changes in the labor market were making its job more complicated adding that if it reacted wrongly, inflationary pressures could rise. Deputy governor Nicolas Vincent said that while the central bank could handle the impact of cyclical forces through changes in interest rates, deeper challenges were harder to control.
U.S. single-family house prices edged up in March, but further increases are unlikely as the war with Iran pushes mortgage rates higher, dampening housing demand. House prices gained 0.1% after a downwardly revised 0.1% dip in February, the Federal Housing Finance Agency said on Tuesday. They increased 1.7% in the 12 months through March, after rising by the same margin in February.
By Jamie McGeever. The list of reasons not to own U.S. Treasuries is lengthening. This isn't a new phenomenon, but it is attracting renewed attention as sentiment towards Treasuries sours in the face of rising inflation, deteriorating public finances, and growing doubts that policymakers have the heart to tackle either.
The persistence of energy price shocks will be a key factor guiding the European Central Bank's next policy decision, Dutch central bank chief Olaf Sleijpen said on Tuesday. Sleijpen reiterated that the ECB's objective at its next rate-setting meeting in two weeks remains price stability and that any decision will depend on how inflation dynamics evolve.
J-Star Holding Co Ltd (YMAT): * J-STAR HOLDING SUBSIDIARY RECEIVES CENTRAL BANK OF TAIWAN AUTHORIZATION TO INITIATE $60 MILLION SOVEREIGN-BACKED FINANCING FRAMEWORK THROUGH DESIGNATED BANKS FOR U.S. SOLID-STATE BATTERY EXPANSION. * J-Star Holding Co Ltd (YMAT) - TO PURSUE $60 MILLION LOAN FOR 100MWH SOLID-STATE BATTERY PLANT IN TEXAS Source text: Further company coverage:
Brazil's current account deficit reached $1.765 billion in April, central bank data showed on Tuesday, larger than the $200 million shortfall expected by economists in a Reuters poll. Foreign direct investment for the month landed at $8.912 billion, beating the $5.4 billion projected in the poll.
Wall Street banks are pushing the Federal Reserve behind the scenes to cement its new supervisory regime so the changes cannot easily be reversed by potential future Democratic administrations, said four people with knowledge of the matter.
Canada's Manulife
Financial Corp (MFC) has raised S$500 million through a 10-year subordinated Tier-2 bond with a non-call period of five years at a launch yield of 2.88%, an updated term sheet showed on Tuesday. Here are some details: * The final price guidance for the offering was set at 2.88%, tightening from initial price guidance of about 3.20%, according to the term sheet.
* Brent crude oil rises after US military strikes Iran. * Rubio says Iran deal could take days. * UBS lowers year-end gold price target by $400 to $5,500. By Noel John. Gold fell on Tuesday, weighed down by fears of elevated inflation after renewed U.S.-Iran tensions pushed up Brent prices and clouded the U.S. interest rate outlook. Spot gold was down 1.1% at $4,521.80 per ounce, as of 0737 GMT.
Hungary's forint eased on
Tuesday ahead of a meeting of the National Bank of Hungary later
in the day where analysts expect the base rate to be kept on
hold amid a rise in energy prices and ...
Copper prices edged lower on Tuesday, pressured by higher oil prices after the latest U.S. strikes on Iran dampened hopes of a resolution to the Middle East conflict, driving concerns over the global economic outlook. Three-month copper on the London Metal Exchange was down 0.2% at $13,637.50 a metric ton by 0746 GMT.
U.S. government bonds rallied along the curve on Tuesday, as hopes for a breakthrough deal to reopen the Strait of Hormuz had investors relaxing a bit about the inflation outlook, ahead of a busy day of debt auctions headlined by a two-year sale.
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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