A Lot of Data Out Today for Investors to Digest August 30, 2024 There’s been a typical end-of-month deluge of economic data releases but without significant financial market repercussions. The dollar rose 0.2% overnight against the Japanese yen and Swiss franc but shows no net change against the euro, sterling or Aussie and New Zealand…
Dollar Strengthening August 28, 2024 The weighted DXY index of the dollar recorded a larger than usual 0.6% advance today, with gains of 0.7% versus the euro, 0.5% against the yen, 0.4% relative to sterling, and 0.3% against the Swiss franc, kiwi, and Aussie dollar. Investors eagerly await the next significantly clue, which will be…
Looking for a Fresh Direction August 27, 2024 The U.S. presidential debate is two weeks away, and the mother of all elections will follow eight weeks after that. A once highly likely victory for Trump has been transformed into a close contest. The FOMC next meets September 17-18. Chairman Powell has all but telegraphed a…
Some Upbeat U.S. Data Gives Pause to Speculation that Fed Might Cut Rate by as Much as Half Percentage Point in September August 26, 2024 A 9.9% leap in U.S. durable goods orders in July was twice analyst expectations and more than reversed June’s 6.9% retrenchment. Core non-defense orders for capital goods other than aircraft…
Next Week’s Menu: August 24-30, 2024 August 23, 2024 Central Banks: Monetary policies will be reviewed in Hungary, Kyrgyzstan and Israel. Bostic of the Fed and Lane of the European Central Bank are among the monetary officials that will be speaking publicly. The Jackson Hole Symposium wraps up on August 25th. Event: The Eurogroup meets…
Stocks and Commodities Up, Dollar Softer Ahead of Powell’s Speech at Jackson Hole August 23, 2024 The attention of investors around the world is focused on Jackson Hole, where Fed Chairman Powell is about to speak. Investors attach three times more likelihood that September sees a 25-basis point rate cut rather than a 50-basis point…
Likelihood Rises that Both the Fed and ECB Will Cut Interest Rates Next Month August 22, 2024 A sizably large downward benchmark revision of U.S. jobs growth between March 2023 and March 2024 is the latest news to solidify the probability that the Fed will start cutting interest rates in September. Investors look to Chairman…
Wednesday Briefing August 21, 2024 Central bank meetings today ended with decisions to leave interest rates unchanged in Iceland, Thailand, and Indonesia: The Bank of Iceland’s 7-day rate has been at 9.5% since a 50-basis point hike in August 2023. CPI inflation there remains too high and above expectations at 6.3%. The rate is at…
Swedish Central Bank Rate Cut and More to Come August 20, 2024 The Executive Board of the Swedish Riksbank cut their policy interest rate by 25 basis points for the second time since March and released a statement that points to somewhat greater easing over the rest of 2024. Officials proclaim in it that “the…
Mixed Central Banking Signals August 20, 2024 The Executive Board of the Swedish Riksbank cut their policy interest rate by 25 basis points for the second time since March and released a statement that points to somewhat greater easing over the rest of 2024. Officials proclaim in it that “the policy rate can be cut…