Markets Weekly: Trump-Fed Feud Masks a Shift in Economics Reality

The battle lines were drawn quickly. Following the Federal Reserve’s decision to hold interest rates steady at their most recent policy meeting, Donald Trump took to his social media platform, Truth Social, to voice his displeasure, not just with the decision itself, but with the very institution in charge
Markets Weekly: Trump-Fed Feud Masks a Shift in Economics Reality

Fed Holds Steady on Rates, Awaiting Clarity from Trump

The US Federal Reserve held interest rates steady on Wednesday, as reported by Reuters, and Chair Jerome Powell indicated that further cuts are unlikely until there's greater clarity on the economic impact of the Trump administration's policies. The decision and Powell's comments create a

Global Coffee Prices Brew Record Highs on Supply Crunch

Global arabica coffee prices have reached an all-time high, surpassing $3.60 per pound, driven by a perfect storm of dwindling supply and robust demand, Reuters reports. The surge is primarily attributed to the tightening supply of arabica beans in Brazil, the world's leading producer. Dealers note that
Global Coffee Prices Brew Record Highs on Supply Crunch

Spanish Inflation Tick Up Unlikely to Derail ECB Rate Cut

Despite a surprise increase in Spain's inflation rate, the European Central Bank (ECB) is still expected to cut interest rates later today, as reported by The Wall Street Journal. Spain's harmonized inflation rate, measured to EU standards, rose to 2.9% in January, up from 2.

French Economy Cools as Olympic Boost Fades, But Consumer Spending Remains Solid

France's economic growth slowed in the fourth quarter of 2024 as the post-Olympics economic boost waned, according to preliminary data released by INSEE, the country's statistics agency, Reuters reports. However, strong consumer spending cushioned the slowdown, providing a glimmer of hope for domestic demand. The eurozone&

US Economic Growth Likely Slowed in Fourth Quarter Despite Strong Domestic Demand

The US economy likely experienced slower growth in the fourth quarter, as reported by Reuters. A surge in imports and a strike at Boeing, which disrupted aircraft spending, contributed to the slowdown. However, robust consumer spending, fueled by a resilient labor market, suggests the Federal Reserve will maintain a gradual

China Central Bank Holds Key Rate Steady, Injects Liquidity

China's central bank kept its key policy rate unchanged on Friday while injecting billions into the financial market, signaling a potential shift toward longer-term stability in benchmark rates, The Wall Street Journal reports. The People's Bank of China (PBOC) injected 200 billion yuan (approximately $27.44

Strong US Economy May Force Fed to Hike Rates Later, Says BlackRock CEO Fink

Larry Fink, BlackRock Inc.'s Chief Executive Officer, is cautiously optimistic about the US economy, suggesting that the Federal Reserve may need to raise interest rates later down the line despite near-term cuts, Bloomberg reports. Speaking at a panel discussion at the World Economic Forum in Davos, Switzerland, Fink

China's Birth Rate Set to Plunge

Despite a short-lived uptick in births in 2023, China is poised to witness a renewed decline in its birth rate this year, according to experts, as reported by the South China Morning Post. While the full-year figures have yet to be released, demographers warn that the modest rise observed last

China to Lower Inflation Target for First Time in Two Decades

China is set to lower its inflation target for the first time since 2004, signaling a more realistic approach to combatting deflationary pressures, Bloomberg reports. The shift comes as the world's second-largest economy struggles to overcome weak consumer demand and a prolonged property slump. Almost all of China&