Doha, Qatar--Qatar National Bank (QNB) Group foresees a recession in the US economy during the upcoming 12 months, pointing out that the US economy continues to demonstrate its resilience despite significant headwinds from high inflation, tighter financial conditions, and an uncertain global environment.In its weekly commentary, QNB added that since...

After a closely watched meeting, the Bank of Japan said it would allow "greater flexibility" in government bond markets, having allowed them to move in a tight band in a process known as yields curve control. But on Friday it said that while it would maintain that range, its upper...

Analysts are divided ahead of the Fed's next decision in September, with the so-called "hawks" predicting additional rate hikes in the face of strong economic data, and "doves" expecting an end to the current hiking cycle given recent inflation data.

The decision by the central banks, in the US and most of the Middle East, to hike interest rates are designed to fight off inflationary pressures and maintain economic stability.

The Fed paused its aggressive campaign of monetary tightening last month to give policymakers more time to assess the health of the US economy, and the impact of recent banking stresses on lending conditions. In the weeks since, positive upgrades to economic growth and cooler inflation data have reinforced the...

Asian equities wobbled at the end of a draining week as fresh US jobs data put revived bets on two more Federal Reserve interest rate hikes, adding to ongoing worries about China's economy. Investors have largely been on the back foot since Beijing announced a big miss on second-quarter growth.

Results of large US banks released underscored the boon from higher interest rates, as executives described the world's biggest economy as "resilient" but facing risks. JPMorgan Chase, Citi and Wells Fargo all enjoyed the benefits of being able to charge higher rates on loans, while not suffering much from elevated...

During periods of economic stability, government focus typically gravitates towards infrastructure development. Investments in sectors like construction, transportation, energy, utilities, and telecomms infrastructure, are likely to see a boost. The financial sector is also expected to be positively impacted, he adds.

London, United Kingdom - World stock markets mostly rose Wednesday as investors jockeyed for position before key US inflation data.London equities climbed after the Bank of England announced that all major UK retail lenders passed stress tests to assess their resilience to economic shocks.Frankfurt and Paris also advanced before the week's...

New York, United States - Wall Street stocks mostly rose early Tuesday amid signs of greater broadening in the equity market beyond technology.Briefing.com analyst Patrick O'Hare pointed to greater momentum for industrials and other "cyclical" sectors tied to economic growth "suggesting that there was a rotation of money within the stock...

Asian stocks tumbled again after another round of strong US data reinforced expectations the Federal Reserve will resume its interest rate hikes as officials wrestle with stubbornly high inflation. After a strong start to the week fueled by signs that US prices were stabilizing, regional markets have taken a turn...

London, United Kingdom - Stock markets retreated Wednesday on poorly-received Chinese data, as investors looked ahead to the reopening of Wall Street after the Independence Day holiday."There are fresh concerns about the global economy powering down as data from China's service sector underlines how tepid the post-pandemic recovery has become, just...

The more positive environment came as concerns over Russia subsided following an aborted uprising, though developments in the nuclear-armed country are being closely followed. Sentiment was also boosted by comments from Chinese Premier Li Qiang, who said the government would roll out fresh measures to kickstart the nation's struggling economy...

A senior US Federal Reserve official said that additional interest rate hikes are needed to tackle historically high inflation. "I believe that additional policy rate increases will be necessary to bring inflation down to our target over time," Fed governor Michelle Bowman told a conference in Cleveland, Ohio, according to...

Equities enjoyed a strong run-up last week, partly on the back of hopes that Beijing would unveil a raft of economic stimulus to go with two interest rate cuts. Expectations have been high that officials would provide help for the struggling property sector and introduce measures to kickstart consumer activity.

The Bank of Japan (BoJ) has gone against the grain set by the Fed and ECB, announcing on Friday that it would maintain its long-standing, ultra-loose monetary policy as it looks to boost economic growth. Officials left the bank's negative interest rate in place, pushing down the value of the...

The hike was the highest since 2001, despite a darkening economic outlook. The ECB increased rates by another 25 basis points, taking the closely watched deposit rate to 3.50 percent -- its highest level since 2001. "Inflation has been coming down but is projected to remain too high for too...

The US central bank, as expected, opted to hold its benchmark lending rate between 5.0 percent and 5.25 percent. But forecasts from policymakers indicated strong support for two more hikes in 2023. Major indices tumbled just after the policy statement was released but recovered somewhat later during Fed Chair Jerome...

WASHINGTON, US - Consumer inflation in the United States cooled for an 11th straight month in May, the Labor Department said on Tuesday, in an encouraging sign for policymakers seeking to rein in price increases.The consumer price index (CPI), a key gauge of inflation, jumped 4.0 percent from a year ago,...

Stock markets jumped after data showed US inflation slowed further in May, raising hopes the Federal Reserve will pause its interest rate-hike campaign. Wall Street indices advanced at the open while European markets climbed after official figures showed US consumer prices rose by 4.0 percent year-on-year in May, compared to...

Members of the rate-setting Federal Open Market Committee remain divided going into the meeting on June 13-14, with a minority still pushing for an 11th straight hike to fight inflation, which remains above the Fed's long-term target of two percent. The Fed has raised its benchmark lending rate by five...

Expectations the Fed will stand pat next week -- for the first time since starting its hiking cycle last year -- pushed equities higher for most of the month, helped by the end of the US debt ceiling standoff. Confidence was dealt a blow this week by the Bank of...

Washington, United States - US economic output increased by more than previously thought in the first quarter of this year, the Commerce Department said Thursday, although it still indicates the economy is weakening.The US economy has cooled this year as the impact of multiple rounds of interest-rate hikes to tackle inflation begins...

Retail sales in the United States returned to growth in April fueled by a rebound in motor vehicle sales, data released showed, but not by as much as many expected. The US Federal Reserve has hiked interest rates 10 times in a row since last year in a bid to...

There are three reasons why the Fed should not increase interest rates further: First, the US financial system is still fragile. Second, the effects of rate hikes take a long time to filter through the economy, and third, the bond market is suggesting a possible recession, adds Green.

Rallying of gold prices and growing concern about a potential global banking crisis are seen as key reasons for the increased allocations, says a latest global report.

The US Federal Reserve called for greater banking oversight while admitting to its own failures in a report published into the collapse of Silicon Valley Bank last month. "Following Silicon Valley Bank’s failure, we must strengthen the Federal Reserve’s supervision and regulation," Federal Reserve vice chair for supervision Michael Barr...

US consumer confidence fell more than many predicted in April, fueled by a deterioration in expectations among Americans over 55 and households with annual incomes over $50,000, according to survey data released. The pessimistic results may ease some of the pressure on the Federal Reserve as it prepares to consider...

Signaling its resolve to keep fighting price rises, the US central bank has said that interest rates may need to increase further, and remain high, to control inflation. The Fed has raised its benchmark lending rate nine times in a row to tackle inflation, which remains well above its long-term...

Dubai, UAE - The US dollar could record some gains as markets increasingly see a higher probability that the Federal Reserve will raise interest rates one more time at their next meeting, Wael Makarem, Senior Market Strategist, MENA at Exness said on Monday. The constant surprises in US economic data during...

Stock markets traded mixed as last week's optimism gave way to worries that central banks may wait longer than expected to end their policy of raising interest rates. After the Paris CAC 40 reached a fresh record-high at 7,552 points, profit-taking set in and the French index was flat in...

The US should continue tightening monetary policy to bring down inflation while assessing the impact of last month's financial turmoil on bank lending, a top Federal Reserve official said. "How much further will depend on incoming data on inflation, the real economy and the tightening credit conditions," Federal Reserve governor...

Equity markets rose, with Paris hitting a record-high, as investors reacted positively to easing inflation, recession concerns and some strong earnings. The dollar hit a year-low against the euro after official data this week showed high inflation slowing in the United States, fanning hopes the Federal Reserve would soon stop...

US consumer inflation slowed in March lessening the pressure on the Federal Reserve to maintain its aggressive posture to cool the economy. The rate of inflation year-over-year fell to 5.0 percent last month from 6.0 percent in February, the smallest 12-month increase since May 2021, as per the Bureau of...

The closely watched non-farm payrolls reading on Friday followed a string of figures last week showing the world's top economy was slowing down and dented investor sentiment. Focus is now on the release of inflation figures later this week, which will play a crucial role in the Fed's decision-making when...

Washington, United States - US Treasury Secretary Janet Yellen expects the world's biggest economy will continue to grow, despite heightened recession concerns following recent turmoil in the banking sector.The dramatic collapse of Silicon Valley Bank (SVB) and Signature Bank last month had rattled the industry, prompting US authorities including the...

US job gains eased in March for a second straight month, government data showed, adding to signs that the economy is cooling as policymakers push on in their fight against inflation. The country added 236,000 jobs in March, slightly less than expected, while the unemployment rate inched down to 3.5...

Washington, United States--US lawmakers accused regulators Tuesday of failing to do enough to prevent the collapse of Silicon Valley Bank earlier this month, despite knowing it was over-exposed to the risk of rising interest rates.The Senate Banking Committee grilled senior Federal Reserve, Treasury and Federal Deposit Insurance Corporation (FDIC) officials about...

"It appears that the Fed has not learned from the mistakes of the 1980s. Throughout much of the 1970s, the US central bank hesitated to implement rate hikes, likely due to political pressure from leaders unwilling to permit higher unemployment rates during their tenure," adds Green.

Days after SVB's collapse this month, the Treasury Department, Federal Reserve and Federal Deposit Insurance Corporation (FDIC) announced that its depositors -- along with those of Signature Bank -- would have access to their money. But officials were quick to add: "No losses will be borne by the taxpayer."

The central banks will step up so-called swap line operations, which give non-US central banks greater access to dollars. "To improve the swap lines' effectiveness in providing US dollar funding, the central banks currently offering US dollar operations have agreed to increase the frequency of 7-day maturity operations from weekly...

US consumer inflation edged down in February but remains elevated, according to government data, adding pressure to the Federal Reserve as it balances its inflation fight with financial stability concerns. The central bank has been on an aggressive campaign to tame inflation, raising interest rates eight times since early last...

Banking experts have been among those alarmed at the rapid collapse of SVB, the country's 16th biggest bank by assets and how its demise became a harbinger of Sunday's failure of another lender, Signature Bank. The failures have "exposed the inadequacy of regulatory reforms that have been made since the...

The Chinese government’s desire to avoid making the same mistakes other governments and central banks have made has driven inflation to a four-decade high. Development consumers are now suffering the consequences as central banks increasingly apply their interest rate weapon to bring inflation under control, he adds.

Treasury Secretary Janet Yellen said the government wants to avoid financial "contagion" from the SVB implosion, as it ruled out a bailout. With the bank's future, and its billions in deposits up in the air, officials from the three agencies, The Fed, the Federal Deposit Insurance Corporation (FDIC) and Treasury,...

Signature Bank was reeling from a bet on crypto banking that foundered after the sector imploded and banking regulators cracked down on lenders’ exposure to digital assets. The bank raced to find a buyer or another solution to shore up its finances before Monday morning, but failed to get a...

Wall Street rose but European stock markets fell as investors brace for US jobs data that they fear could prompt the Federal Reserve to ramp up interest rate hikes. Markets were rocked this week by Fed chief Jerome Powell's warning that interest rates could rise should the economy show no...

"We're seeing robust hiring, which is good for the economy and workers, but pay growth is still quite elevated," said Nela Richardson, chief economist at ADP, in a statement.

US interest rates will likely peak at a higher level than previously anticipated due to economic data that came in stronger than recent trends suggested, Federal Reserve Chair Jerome Powell said. He said that January figures for employment, consumer spending, manufacturing production and inflation pointed to a partial reversal of...

US and European stocks dipped as dealers fretted that the Federal Reserve would push interest rates higher than expected and for longer as it battles high inflation. The euro moved up against the dollar as strong inflation data in France and Spain sparked concerns that the European Central Bank will...