Economic activity expanded slightly to moderately across the Federal Reserve?s 12 districts during late November and December, yet concerns over looming changes to U.S. immigration and tariff policies cast a shadow on the future, according to the Fed Beige Book released Wednesday.
- U.S. economic activity increased slightly to moderately in late November and December, the Federal Reserve said on Wednesday, with employment ticking up and prices rising moderately amid concerns about the potential impact of policies under President-elect Donald Trump.
U.S. economic activity increased slightly to moderately in late November and December, the Federal Reserve said on Wednesday, with employment ticking up and prices rising moderately amid concerns about the potential impact of policies under President-elect Donald Trump.
-Several major brokerages have tempered their predictions for how much the Federal Reserve will lower interest rates in 2025, if at all, after a surprisingly strong U.S. employment report on Friday pointed to resilient economic growth. At least one brokerage, BofA Global Research, said in a note it thought the easing cycle was over and it was likely the Fed would hold for an extended period.
- U.S. central bankers project more limited interest-rate cuts in 2025 than the full percentage point of reductions they delivered in 2024, given slower progress toward their 2% inflation goal, a still-strong labor market, and a lot of uncertainty over the potential impact of tax cuts, tariffs and other economic policies in Donald Trump's second term as president.
The Bank of England should move quickly to bring down interest rates given signs of a slowdown in Britain's economy, Alan Taylor, the BoE's most recently appointed interest rate setter, said on Wednesday.
Global hedge funds added more bets against U.S. stocks over the last week through Jan 9, ahead of a blowout U.S. jobs report that sparked a sell-off on Wall Street, Morgan Stanley and Goldman Sachs said in notes on Friday.
* US core inflation rises 0.2%, as expected. * US 10-year yield on pace for largest daily fall in two months. * US 2/10 yield curve flattens after inflation data. * US rate futures price in 38 bps of easing in 2025. By Gertrude Chavez-Dreyfuss.
Federal Reserve Bank of New York President John Williams said Wednesday it's too soon to say how the election outcome and the return of Donald Trump as president will affect the economy.
Palo Alto Networks, Inc. (PANW) shares are trading higher on Wednesday. In fact, shares of software companies are trading higher amid overall market strength after CPI data was in line with estimates and core CPI rose by less than expected.
Canada's main stock index rose on Wednesday as investors welcomed a U.S. inflation print that lifted hopes for more rate cuts this year by the Federal Reserve. The Toronto Stock Exchange's S&P/TSX composite index was up 0.76%, or 186.04 points, at 24774.62. Eleven of thirteen sectors were trading higher, with information technology stocks leading with a 1.9% rise.
* US stocks rise after core inflation up less than forecast. * U.S. Treasury yields fall with dollar. * Oil and gold rally. By Sin?ad Carew and Amanda Cooper. A global equities gauge rallied on Wednesday while the dollar fell with Treasury yields after data showed core U.S. inflation rose less than expected in December, raising hopes that the Federal Reserve could ease rates further.
The dollar weakened
against major peers on Wednesday after cooler-than-expected data
eased fears that inflation was accelerating and increased the
chances the Federal Reserve could cut interest rates ...
Federal Reserve Bank of New York President John Williams said on Wednesday that future monetary policy actions will be driven by economic data as the central bank confronts a high level of uncertainty in large part driven by potential government policy changes.
Bitcoin? mining stocks?MARA Holdings?Inc?,?Riot Platforms?Inc??and CleanSpark?Inc? are trading higher Wednesday following softer-than-expected Consumer Price Index data. What To Know:?Bitcoin is surging following core CPI data that came in below expectations. Broader markets are rallying on the heels of the inflation data and crypto names are getting an extra lift from a rise in Bitcoin prices.
Consumer inflation eased slightly in December, with core CPI coming in at 3.2% on a year-over-year basis, below the 3.3% estimate. Headline CPI rose 2.9% year-over-year, in-line with expectations.
* Consumer price index increases 0.4% in December. * Energy goods account for more than 40% of the rise in CPI. * Consumer inflation rises 2.9% on year-on-year basis. * Core CPI gains 0.2%; up 3.2% from year ago. By Lucia Mutikani.
Federal Reserve officials said data released on Wednesday showed U.S. inflation was continuing to ease even as they noted heightened uncertainty in the coming months as they await a first glimpse of the incoming Trump administration's policies.
* US 10-year yield on pace for largest daily fall in two months. * US 2/10 yield curve flattens after inflation data. * US rate futures price in 40 bps of easing in 2025. By Gertrude Chavez-Dreyfuss.
* US core CPI rises 3.2% on a yearly basis in December. * Dollar down 0.3% against its rivals. * Markets expect 37.2 bps worth of rate cuts by year-end. By Anjana Anil. Gold prices pared gains on Wednesday after a U.S. consumer inflation report offered mixed signals about the future path of rate cuts this year, even as a drop in the U.S. dollar and Treasury yields limited bullion's losses.
Canada's main stock index opened higher on Wednesday, helped by information technology shares, as investors welcomed a U.S. inflation print that lifted hopes for more rate cuts this year by the Federal Reserve. At 9:31 a.m. ET, the Toronto Stock Exchange's S&P/TSX composite index was up 1%, or 258.9 points, at 24847.48.
Federal Reserve policymakers may be able to reduce interest rates a couple of times this year, traders bet on Wednesday, after a government report helped allay fears that inflation was accelerating in the final full month of Joe Biden's presidency.
Former Bank of Canada governor Mark Carney will announce on Thursday he is running to replace Prime Minister Justin Trudeau as leader of the ruling Liberal Party, CBC News said on Wednesday. Carney, 59, will launch his bid at an event in the western city of Edmonton, CBC said, citing an invitation sent by Liberal legislator George Chahal.
MISSISSAUGA, Ontario---- Schneider Electric, the leader in the digital transformation of energy management and automation, today announced that its Wuxi factory in China has been recognized by the World Economic Forum as a Sustainability Lighthouse. This press release features multimedia.
Euro area benchmark Bund yields fell on Wednesday, breaking a 10-day rising streak, as core U.S. consumer price inflation came in below expectations in December, bringing back bets on two Federal Reserve rate cuts in 2025.
U.S. consumer prices increased slightly more than expected in November as energy costs rose, pointing to an inflation trend that lines up with the Federal Reserve's view for a slower path of rate cuts this year. The consumer price index rose 0.4% last month after climbing 0.3% in November, the Labor Department's Bureau of Labor Statistics said on Wednesday.
- Traders of interest-rate futures on Wednesday were pricing close to even odds the Federal Reserve will cut interest rates twice by the end of this year, with the first reduction to come in June. Government data showed consumer prices rose 2.9% in the 12 months through December, in line with economists' expectations.
Consumer inflation surged for the third straight month in December, rekindling concerns that the months-long cooling of price pressures could be over and casting doubt on the Federal Reserve?s ability to steer inflation toward its 2% target. The headline Consumer Price Index rose 2.9% year-over-year in December, according to Wednesday?s data from the Bureau of Labor Statistics.
Traders of interest-rate futures on Wednesday were pricing close to even odds the Federal Reserve will cut interest rates twice by the end of this year, with the first reduction to come in June. Government data showed consumer prices rose 2.9% in the 12 months through December, in line with economists' expectations.
U.S. stock index futures extended gains on Wednesday as investors assessed a broadly in-line consumer inflation report to gauge its effect on the Federal Reserve's monetary policy easing this year. Data from the Labor Department showed the consumer price index rose 2.9% on an annual basis in December 2024, in line with the expectations of economists polled by Reuters.
U.S. consumer prices increased slightly more than expected in December amid higher costs for energy goods, pointing to still elevated inflation that aligns with the Federal Reserve's projections for fewer interest rate cuts this year. The consumer price index rose 0.4% last month after climbing 0.3% in November, the Labor Department's Bureau of Labor Statistics said on Wednesday.
Financial analysts are bracing for a potentially volatile week as markets grapple with inflationary concerns and the looming inauguration of Donald Trump.. A preview of the December Consumer Price Index suggests persistently elevated inflation, despite a recent dip in the Producer Price Index, raising fears among investors and impacting bond yields and equity markets.
* Yen appreciates on rising prospect of BOJ hike. * British inflation unexpectedly slows. * Sterling steady even as gilts rally. * Dollar recovers from Tuesday's fall. * China's yuan again very close to daily downside limit. By Rae Wee and Alun John.
* December CPI data due at 8:30 a.m. ET. * JPMorgan (JPM), Wells Fargo (WFC) post higher Q4 profits. * BlackRock (BLK) assets hit record $11.6 trillion in Q4 2024. * Futures up: Dow 0.37%, S&P 500 0.33%, Nasdaq 0.39% By Johann M Cherian and Sukriti Gupta.
The interest rate for the most popular U.S. home loan rose last week to an eight-month high of 7.09%, extending an upward trend that's squeezing would-be homebuyers already facing rising house prices and limited supply. The average contract rate on a 30-year fixed-rate mortgage rose 10 basis points in the week ended Jan. 10, the Mortgage Bankers Association said on Wednesday.
Any moves to pursue financial deregulation by the incoming U.S. administration would increase the risk of a financial crisis occurring one day, France's central bank governor warned on Wednesday.
Any moves to pursue financial deregulation by the incoming U.S. administration would increase the risk of a financial crisis occurring one day, France's central bank governor warned on Wednesday.
* German GDP contracts 0.2% in 2024, exports fall 0.8% * First back-to-back annual contraction since early 2000s. * Fall in full-year GDP in line with forecast. * Fourth quarter's 0.1% fall suggests no upturn imminent. By Maria Martinez. BERLIN, Jan 15 - Germany's economy contracted for the second consecutive year in 2024, highlighting the depth of the downturn gripping Europe's biggest economy.
* S&P 500 futures flat, oil up. * Dollar, bond yields tick lower ahead of CPI. * Pound holds, gilts soothed by UK inflation. * Sterling, gilts in focus ahead of UK CPI data. By Amanda Cooper.
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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