Financial News

European Central Bank noted that current interest rates would push inflation towards the 2% target if they are maintained for a sufficiently long duration.

The federal funds rate projection for 2024 was changed from 5.1% to 4.6%.

November’s steady PPI and stable Core PPI highlight market equilibrium amid contrasting sector-specific trends in the U.S. economy.

Inflation is above Fed’s 2% target, so it remains to be seen whether Fed will signal that it is ready to cut rates in the first half of the next year.

November CPI up 0.1% with core CPI rising 0.3%, showing shifts in US inflation led by housing, healthcare, and energy declines.

With central banks deliver policy decisions, economic indicators from China, the Eurozone, the UK, and the US will also need consideration.

The crypto market continued to respond to BTC-spot ETF-related news, countering anti-crypto rhetoric from Capitol Hill.

The report indicated that year-ahead inflation expectations declined from 4.5% to 3.1%.

November’s nonfarm employment rose by 199,000, unemployment dipped to 3.7%, and wages grew to $34.10, signaling economic strength.

Natural gas prices remain under pressure as traders remain focused on bearish weather forecasts.

US unemployment claims rise to 220,000 with the four-week average reaching a yearly high of 1,872,250.

China’s trade data sent mixed signals today. An unexpected fall in imports could suggest a weakening demand environment, putting the spotlight on Beijing.

Oil prices remain under pressure as gasoline inventories increased by 5.4 million barrels.

U.S. private sector added 103,000 jobs in November, falling short of the 131,000 job market expectation.

Treasury yields tested new lows after the release of the report as traders bet on a more dovish Fed.

Euro area’s industrial prices up 0.2% in October 2023, but year-over-year fell 9.4%, with energy sector impacting EU prices.

On Tuesday, the RBA held the cash rate unchanged at 4.35% and listed a range of uncertainties and optimism about inflation to close the door on rate hikes.

SP500 moved lower as traders took profits near multi-month highs, while gold pulled back towards the $2050 level in a wild trading session.

The Eurozone Sentix Economic Index indicates a budding economic recovery with modest but consistent improvements.

Monetary policy decisions, forward guidance, and the economic calendar will keep the markets busy before the all-important US Jobs Report on Friday.