The Bank of Japan has comprehensively raised its inflation forecast for fiscal year 2024 to 2026 and lowered its economic growth forecast for fiscal year 2024
Bank of Japan: Risks to the inflation outlook for fiscal 2024 and 2025 are tilted upward.
US Treasury issued a $20 billion 10-year inflation-protected Treasury note (TIPS), winning the bidding yield of 2.243%, the highest since January 2009, 1 basis point higher than the pre-issue trading level at the tender deadline, indicating that demand was slightly lower than expected. Primary dealers were allocated 10.2%, lower than the previous time, the proportion of direct bidders rose to 23.3%, and the proportion of indirect bidders fell to 66.5%. The bid multiple was 2.48 times, compared w...
The latest survey by foreign media shows that economists expect higher inflation and GDP growth in the United States. Click to view...
The December CPI in the United Kingdom and the United States shows that inflation is still on the road to decline, so the pound may continue to bear the burden.
The Federal Reserve's Goolsbee said that we are confident in keeping inflation at 2%, which is a commitment given by the Federal Reserve.
Slowing inflation in the United States pushed up expectations of interest rate cuts, and the three major U.S. stock indexes collectively rose. The Nasdaq rose 2.45%, the S & P 500 rose 1.83%, and the Dow rose 1.65%. Large technology stocks collectively rose, Tesla rose more than 8%, Meta, Nvidia, Google rose more than 3%, and Microsoft, Netflix, and Amazon rose more than 2%.
The Federal Reserve's Barkin said that inflation is falling back towards its 2% target and can see a possible path for inflation to firm up or continue to progress towards the target. He was encouraged by the unemployment rate in December, and the current job market appears to have stabilized. There is not much evidence to support the claim that the economy is weakening.
After the inflation data, traders in interest rate futures increased their bets on a rate cut by the Federal Reserve in June, raising the possibility of a second cut in 2025. Traders expected the Fed to cut rates by the end of July, compared with September.
1. MUFJ: UK bond yields fell as inflation data strengthened the case for the Bank of England to cut interest rates in February. Given that the recent sell-off in government bonds has put pressure on the pound, UK bond yields fell or boosted the pound. 2. Deutsche Bank: Falling inflation in the UK clears the way for the Bank of England to cut interest rates in February. Inflation may pick up later, but the recovery may be temporary and is expected to fall near the target level next year. 3. ICAEW...
US Inflation vs. Federal Reserve Rates: Summary of Investment Bank Expectations 2025
Although the US PPI rose less than expected in December, inflation anxiety still hung over the market, and the 30-year US Treasury yield hit a new recent high above 5% on Tuesday. The 30-year yield broke through 5% for the second time since Friday, and the 10-year yield rose to 4.81%, both hitting their highest levels since November 2023. US bond yields have continued to rise in recent weeks, as the market fears that stubborn inflation may prompt the Federal Reserve to stop cutting interest rate...
The New York Fed's one-year inflation forecast in December was 3%, compared with 2.97% previously. The expected three-year inflation rate in the United States was 3% in December, compared with 2.6% previously. The expected five-year inflation rate in the United States was 2.7% in December, compared with 2.9% previously.
Mr. Goolsbee said interest rates should fall if economic conditions were stable, inflation was not rising and full employment was achieved. If current expectations were met, rates would fall sharply in 12 to 18 months.
The University of Michigan survey shows that inflation expectations rose to 3.3% over a 5-10 year period, the highest level since 2008.