Markets

Inflation expectations are “collapsing” and markets are pricing sub-2% inflation next year. That’s contrary to what the Fed has suggested, with plans to remain hawkish in the near-term. But they only have “half the story,” and a recession might not be imminent, Jonathan Golub said.  Loading Something is loading. Market expectations for inflation are dropping… Continue reading Inflation expectations are collapsing and the Fed may be only reading ‘half of the story,’ Credit Suisse chief stock strategist says

India, the world’s top rice exporter, has imposed a 20% tax on shipments of some rice grades. It has also banned the exports of 100% broken rice, which is mostly used for animal feed. India accounts for about 40% of global rice exports, so its moves are expected to push up prices. Loading Something is… Continue reading India, the world’s top rice exporter, just slapped a 20% tax on some rice exports. It could further fuel food inflation.

US stocks ended higher Thursday after a volatile trading session, marking a second straight day of gains.  Investors weighed more hawkish remarks from Federal Reserve Chairman Jerome Powell.  Earlier Thursday, the European Central Bank hiked benchmark rates by 75 basis points, it’s biggest-ever increase.  Loading Something is loading. US stocks ended higher Thursday after a… Continue reading US stocks gain after a back-and-forth session as Wall Street weighs the latest hawkish remarks from Fed Chair Powell

Declining liquidity in the US Treasury market represents the biggest systemic risk to financial markets, according to Bank of America.The risk of falling liquidity and resiliency of US Treasuries could be bigger than the 2007 housing bubble, BofA said.”While this sounds like a bad science-fiction movie, it is unfortunately a real threat,” BofA said. Loading… Continue reading Liquidity in the US Treasury market represents the biggest systemic risk to stocks since the 2007 housing bubble, BofA says

US stocks climbed and the Nasdaq snapped a seven-session losing streak Wednesday as traders took in fresh economic indicators. The Beige Book survey found that US economic growth is set to weaken further, while inflation is showing signs of cooling off. Fed Vice Chair Lael Brainard said policymakers will fight inflation “for as long as… Continue reading US stocks jump as signs of weaker growth and slower inflation offer hope for a less hawkish Fed

The European Commission on Wednesday listed five measures that will be up for discussion at a meeting of energy ministers.  Capping Russian gas prices and mandating reductions in electricity use at peak hours are on the list of measures.  Energy costs are soaring for households and businesses in the wake of Russia’s war against Ukraine. … Continue reading European energy ministers will discuss these 5 measures designed to fight the brewing energy crisis

US stocks will take a hit from the economic crisis taking place in Asia and Europe, top economist Mohamed El-Erian warned. But it’s still likely to outperform its peers due to the resilience of the US economy and the US dollar. “The west is going to suffer quite a bit in the next 12 to… Continue reading US stocks will overcome international headwinds and outperform their global peers going forward, top economist Mohamed El-Erian says

Russia’s top banks have deepened their ties to China’s currency and financial system.  Moscow-based lender Sberbank said Tuesday it has started lending out money in yuan. VTB said it is the first Russian bank to launch money transfers to China via the yuan outside the SWIFT messaging network. Loading Something is loading. Russia’s top banks… Continue reading Russia’s top banks have started lending out yuan and transferring China’s currency outside the SWIFT system