Policymakers Struggle to Respond to Rising Dollar and High US Interest Rates: Mohamed El-Erian
Mohamed El-Erian said policymakers around the world are finding it difficult to respond to a rising dollar and consistently high US interest rates. “Authorities around the world are in a bit of a freeze on how to respond to the overall strength of the dollar,” El-Erian said on Bloomberg Television on Tuesday. “How will we […]
US Retail Sales Surge Impact Treasury Yields and Interest Rate Cut Expectations
US retail sales grew faster than expected, further reducing expectations for a US interest rate cut this year. After the data was released, the exchange market stopped pricing in interest rate cuts before November altogether. At the start of the year, it was expected to start in March. At this point, expectations for a rate […]
Mohamed El-Erian Expects Two Fed Rate Cuts Despite Strong US Employment Data
Mohamed El-Erian still expects the US Federal Reserve to cut interest rates twice this year. A strong US employment report in March has led the market to reconsider the timing of interest rate cuts. US employment rose 303,000 in March, biggest increase in a year – unemployment rate falls (1) El-Erian said in an interview […]
Strong Jobs Report Boosts US Economy: Unemployment Rate Falls and Payrolls Increase
US payrolls increased by the most in almost a year in March, and the unemployment rate fell. It showed that a strong labor market boosts the economy. US employment rose 303,000 in March, biggest increase in a year – unemployment rate falls (1) Market participants’ views on the statistics are as follows. ◎Mr. Chris Zaccarelli […]
Is Kim Jong Un Really Preparing for War? Analysts Raise Concerns
For decades, many people around the world did not heed North Korea’s declarations that it would unleash destruction on its enemies. But in recent months, some prominent analysts have begun to warn that Kim Jong Un, the leader of the Workers’ Party of Korea, may be seriously preparing for war. Now in his 13th year […]
ISM Non-Manufacturing Industry Business Index Declines for Second Consecutive Month: Purchase Price Index at Four-Year Low
The general non-manufacturing industry business index for March released by the Institute for Supply Management (ISM) declined for the second consecutive month. Meanwhile, the purchase price index fell to its lowest level in four years. Key Point The non-manufacturing general business conditions index fell 1.2 points from the previous month to 51.4. The median forecast […]
Yen Depreciates Towards 152 Yen Per Dollar, Raises Concerns of Japanese Intervention
The Yen is depreciating against the dollar towards 152 yen per dollar. This is a milestone level that traders see as increasing the risk of intervention by Japanese monetary authorities in the foreign exchange market. The Institute for Supply Management (ISM) released a strong manufacturing industry index for March, pushing the dollar up. The yen […]
Akihiro Fukudome Believes Bank of Japan’s Monetary Policy to Remain Accommodative
Akihiro Fukudome, the new chairman of the Japan Bankers Association (President of Sumitomo Mitsui Banking Corporation), believes that the Bank of Japan’s monetary policy will remain accommodative for some time. The Bank also announced that it expects the policy’s interest rate to be raised “by 0.25% at most” over the next year. Mr Fukudome, who […]
Investors Bet on Europe to Lead Global Stock Rally as US Stocks Look Overvalued
Investors are betting that Europe will lead the next global stock rally, with US stocks looking overvalued and reminiscent of the dot-com bubble. Hedge funds are now increasing their exposure to European stocks by an all-time high compared to global benchmarks, according to data from Goldman Sachs Group. Mutual funds have also increased their allocations […]
The Collapse of Baltimore Bridge: Potential Unprecedented Insurance Payout
The insurance claim payout for the collapse of a major connecting bridge in Baltimore, Maryland, on the 26th, could be one of the largest in marine insurance history, said John Neal, CEO of Lloyd’s Insurance Association. “This could be one of the biggest maritime losses in history,” Neal said in an interview with Bloomberg News […]
