Esther George says the Fed’s ‘large balance sheet’ may have helped cause the yield curve inversion
Kansas City Fed President Esther George said the Federal Reserve may be partly responsible for the yield curve inversion. “I think the Fed still has a large balance sheet, and that could be putting some downward pressure on those longer-term...
Art Laffer warns on negative rates, saying he’d borrow as much as he could for no interest
Economist Art Laffer, a supporter of President Donald Trump, warned Thursday on CNBC about the moral hazard of having the kind of negative interest rates seen across Europe and in Japan. “If I could borrow without paying any interest, or...
EURUSD Declines With Eyes On 1.1026/00 Support Zone
EURUSD declines with eyes on 1.1026/10 support zone as looks to resume its broader downside pressure. Support comes in at the 1.1000 where a violation will turn risk to the 1.0950 level. A break below here will target the 1.0900...
Stocks making the biggest moves premarket: Dick’s Sporting Goods, Hormel, Target & more
Check out the companies making headlines before the bell: Dick’s Sporting Goods – The sporting goods retailer earned $1.26 per share for the second quarter, 5 cents a share above estimates. Revenue also beat forecasts. Comparable-store sales rose 3.2%, compared...
The Fed didn’t need to cut rates in July, Kansas City Fed president says
Kansas City Federal Reserve President Esther George disagrees with the U.S. central bank’s move to cut interest rates last month, saying the economy is still strong. “My sense was we’ve added accommodation, and it wasn’t required in my view,” George...
Melting Hopes: What Emerged In The Fed’s Minutes
The published minutes of the Federal Reserve Board’s previous meeting showed a serious split in opinions on monetary policy. Markets were cautious about the wording that a “couple” of Fed members favoured 50 points rate cut while “several” preferred no...
Dollar Supported by FOMC Minutes, Aussie Tumbles on Poor PMIs
Yen and Swiss Franc attempt for rally again today as risk sentiments turned cautious. Dollar is also mildly firmer after FOMC minutes reaffirmed that last month’s rate cut was just a mid-cycle adjustment. Though, upside in the greenback is capped...
FOMC Minutes Explained the Rationale for Precautionary Rate Cut. Further Reduction Likely in Coming Months
The FOMC minutes for the July meeting explained that the key reasons for the rate cut are slowdown in global economic outlook and subdued US inflation. An insurance reduction was needed to prevent these factors from dragging US economy. Yet,...
A trade war with Europe would be more damaging than Washington’s dispute with China
HAMBURG, GERMANY – JULY 07: German Chancellor Angela Merkel, former British Prime Minister Theresa May, US President Donald Trump and Chinese President Xi Jinping at the first session of the G20 summit on July 7, 2017 in Hamburg, Germany. Pool...
Market Morning Briefing: Pound Has Come-Off Failing To Breach 1.22 Again
STOCKS The “Wait and watch” drill continues in global Equity markets with everyone looking at the status of the US-China talks/ spat. The expected range trade continued in most Equity markets yesterday, apart from the DAX which was more bullish...
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