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Federal Reserve

  • US markets tumble as Fed signals fewer interest rate cuts in 2025

    December 19, 2024

    US markets plunged last night after the Federal Reserve signalled that it would take a more cautious path to interest rate cuts next year. Following the Fed’s announcement, the Dow Jones fell 2.6 per cent, the S&P 500 fell three per cent, and the Nasdaq fell 3.6 per cent. This was the biggest decline in [...]

  • US inflation ticks up as market holds breath for Fed cut

    December 11, 2024

    US inflation ticked up to 2.7 per cent in November, a rise from 2.6 per cent in October and matching analyst expectations. This was the highest level of inflation that the US has experienced since July, after dipping to as low as 2.4 per cent throughout September. Inflation has not been below its 2 per [...]

  • Fed gets ‘green light’ for another interest rate cut following jobs report

    December 6, 2024

    The latest jobs report showed that the world's largest economy added 227,000 jobs last month, slightly ahead of the 200,000 expected by economists.

  • Fed cuts rates by 25 basis points just days after Donald Trump’s victory

    November 7, 2024

    The decision, the second in the cutting cycle, was widely anticipated by markets and means the federal funds rate stands in a range of 4.50-4.75 per cent.

  • US reports worst jobs growth since December 2020

    November 1, 2024

    The US has reported its worst jobs growth since December 2020, as only 12,000 new jobs were added to the economy during September. This was significantly below the 113,000 forecast by analysts, leaving economists describing the numbers as “weak”. However, unemployment held steady at 4.1 per cent, while average hourly earnings rose 0.4 per cent [...]

  • US and European interest rate cuts hang in the balance ahead of crunch week

    October 27, 2024

    Key economic figures in the US and Europe are set to give investors clues on how much further both regions' central banks could go in cutting interest rates this year.

  • US inflation comes in above expectations following hot jobs report

    October 10, 2024

    US inflation came in slightly above expectations in September, bolstering the case for a slower pace of rate cuts over the coming months. Figures from the Bureau of Labor Statistics showed that the headline rate of inflation fell to 2.4 per cent in September, down from 2.5 per cent last month but slightly ahead of [...]

  • Wall Street claws back week’s losses thanks to strong jobs report

    October 5, 2024

    US stocks rallied on Friday after a surprisingly strong report on the US job market raised optimism about the economy. The S&P 500 climbed 0.9 per cent and got close to its all-time high set on Monday. The Dow Jones Industrial Average rose 341 points, or 0.8 per cent, to set its own record, while [...]

  • Pound’s strength against the dollar risks ‘damage’ to UK’s competitiveness

    September 25, 2024

    The pound reaching its highest level in over two years against the dollar risks damaging the international competitiveness of the UK, City analysts have warned. Sterling now sits at $1.34, its highest since February 2022 and far from its low point of $1.03 in the days after Liz Truss’ mini budget. However, while the strength [...]

  • Interest rates heading lower after historic week for central banks

    September 23, 2024

    For many central bankers, concerns about sluggish growth and the health of the labour market are now as prominent - if not more so - than fears about inflation, paving the way for an extended period of rate cuts.

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