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Markets had just breathed a sigh of relief when two hawkish Federal Reserve officials issued fresh warnings: inflation is far from over, and they support moderate rate hikes.
Cooling U.S. inflation data has spurred markets to heavily bet on the Federal Reserve pausing rate hikes, but policymakers are sending markedly different signals. Dallas Fed President Logan and Kansas City Fed President Schmid have both warned that a single month of improved inflation is insufficient to declare victory, and if prices fail to sustainably decline, further policy tightening could still be on the table.
U.S. June 'terrifying data' edged up slightly month-over-month, while the labor market remained resilient.
U.S. retail sales rose modestly by 0.2% month-over-month in June, falling short of expectations due to downward pressure from lower oil prices, but core consumer spending remained robust, supported by e-commerce promotions and major sporting events.
Rising energy prices have heightened inflation concerns, pushing silver down to the lower boundary of its trading range; caution is warranted against a potential breakout.
Spot silver (XAG/USD) continued its pullback during Thursday's European trading session, falling to around USD 57, with an intraday decline of approximately 1.3%. Recent downward pressure on silver has been driven primarily by rising energy prices and a renewed uptick in global inflation expectations. Investors are concerned that major central banks may maintain a relatively tight monetary stance, thereby diminishing the appeal of precious metals. Given silver’s dual nature as both a precious and an industrial metal, its price is influenced not only by the U.S. dollar and interest rates but also by shifts in global economic outlooks. Recently, escalating tensions between the United States and Iran have pushed international energy prices higher, prompting the market to reassess future inflation trends. Energy costs
Wash ends his Capitol Hill visit! A summary of what he said over the past two days.
To truly establish and maintain the Federal Reserve's credibility in the coming months, he must deliver a performance in combating inflation and resisting political interference that genuinely convinces both the markets and Congress.
Trump reiterated his hope for lower interest rates, stating that holding steady is better than raising rates and expressing great respect for Warsh.
Trump also stated that Iran is very eager to reach a reconciliation, and once the situation in Iran stabilizes, oil prices will fall to $55 per barrel. He expects inflation by year-end to be lower than it is now.
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