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Strengthening Our Beleaguered Military Starts With A Maritime Overhaul Authored by Brent D. Sadler via RealClear Wire, America’s security and prosperity is at high risk today, largely because of bad policies backed up by too weak armed forces. Consider our U.S. maritime complex. Decades of neglect and inadequate investment have left our shipping, shipbuilding, Navy, merchant marines, ports, and Coast Guard woefully behind the times. The Secretary of the Navy and a growing group in Congress are sounding the alarm, drawing attention to the plight of our weakened maritime […]

Hedge Fund Boss Loses Legal Fight Over 2,364 Silver Bars Found In WWII Shipwreck An undersea exploration company backed by a top hedge fund boss in the United Kingdom lost a major legal fight over the salvage of $40 million worth of silver bars from the wreck of a ship lost to a Japanese submarine in World War II.  On Wednesday, Bloomberg reported that the UK's Supreme Court ruled that the South African government could declare state immunity in a suit by hedge fund chief Paul Marshall's Argentum Exploration Ltd.  Argentum Exploration argued in court that it was […]

A Deep Dive Into The Opioid Crisis Authored by Matt Bivens, M.D. via Racket News, Editor’s note: the following is the first essay in a series, written by former Moscow Times co-worker and current E.R. doctor Matt Bivens. The remaining features will be published serially on his Substack site, The 100 Days. None of the articles in the series will be paywalled. In a normal presidential election year, the opiate addiction crisis would be a front-and-center domestic issue, but for a variety of mostly illegitimate reasons, it flies somewhat under the radar. Matt’s series […]

These Are The Countries With The Highest Rates Of Crypto Ownership This graphic, via Visual Capitalist's Marcus Lu, ranks the top 10 countries by their rate of cryptocurrency ownership, which is the percentage of the population that owns crypto. These figures come from crypto payment gateway, Triple-A, and are as of 2023. Data and Highlights The table below lists the rates of crypto ownership in the top 10 countries, as well as the number of people this amounts to. Note that if we were to rank countries based on their actual number of crypto owners, India would rank […]

Lawmakers Urge U.S. Action To Halt China's Organ Trade Authored by Susan Crabtree via RealClearPolitics, A group of leading China critics in Congress is urging the State Department to step up its efforts to curb Beijing’s gruesome $1 billion forced organ harvesting trade, which targets ethnic and religious minorities, including Uyghurs, Tibetans, Muslims, Christians, and Falun Gong practitioners.  Six members of the Congressional-Executive Commission on China, or CECC, sent a letter last week to Secretary of State Antony Blinken asking him to utilize existing agency reward […]

The Missing Piece Of The Puzzle: Behind The Inexplicable "Strength" Of US Consumers Is $700 Billion In "Phanton Debt" Yesterday we discussed the latest consumer credit data, which revealed that the amount of credit card debt across the US has hit a new record high of $1.337 trillion (even though it appears to have finally hit a brick wall, barely rising in April by the smallest amount since the covid crash), even as the savings rate has tumbled to an all time low. To be sure, credit card debt is just a small portion (~6%) of the total household debt stack: as the next chart […]

Argentina To Mine Bitcoin With Stranded Gas Authored by Vivek Sun via BitcoinMagazine.com, Argentina's energy sector is increasingly turning to Bitcoin, this time with a state-owned facility using stranded natural gas from oil fields that would otherwise be wasted. JUST IN: 🇦🇷 Argentina state-owned company’s subsidiary will mine $BTC with Stranded Gas: Forbes Eventually, every country will be mining #Bitcoin pic.twitter.com/bu6sCXEUJ1 — Bitcoin Magazine (@BitcoinMagazine) May 8, 2024 State-owned energy firm YPF's subsidiary, YPF Luz, recently partnered with Genesis […]

"Is Consumer Travel Spending Easing?" - BofA Identifies New Trend As Travel Companies Miss Earnings  One theme we've spotted this earnings season has been an increasing number of companies warning about low-income consumers.  From McDonald's to Starbucks to Tyson Foods, executives on earnings calls have warned about mounting headwinds hitting the working poor.  Last Tuesday, Starbucks CEO Laxman Narasimhan told investors on a call, "Our performance this quarter was disappointing and did not meet our expectations," adding that significant headwinds originate from a […]

House Votes To Nullify SEC's Anti-Crypto Policy, Biden Vows To Veto Authored by Tom Mitchelhill via CoinTelegraoph.com, The United States House of Representatives has voted to pass a bill that overturns controversial Securities and Exchange Commission guidance preventing banks from owning crypto.  On May 8, the House voted to pass a bipartisan bill dubbed H.J. Res 109 which overturns the SEC’s Special Accounting Bulletin (SAB 121) that requires banks to hold their customers’ crypto assets on their balance sheets - which is not the case for traditional assets such as […]

China Blasts US For Talking Gaza "Ceasefire While Pouring In Weapons" First the Ukraine war and now the Gaza conflict... China increasingly finds itself the leader of the group of nations at odds with the West over how to handle these crises.  Beijing has criticized the United States' role in stoking both conflicts, given Washington is the main supplier of weapons and funds for both Israel and Ukraine. Most Global South countries are quite obviously more sympathetic to the Palestinian side when it comes to the Gaza crisis (evidenced by recent votes at the UN), and they have […]

Jan. 6 Arrests Running At Nearly Double The Rate Of 2023 And 2022: Report Authored by Joseph M. Hanneman via The Epoch Times (emphasis ours), Nearly 1,425 people have been arrested on Jan. 6 charges, with 2024 arrests running at almost double the rate from 2023 and 2022, a U.S. Department of Justice report shows. Capitol Police officers use pepper spray and tear gas to clear protesters from the U.S. Capitol in Washington on Jan. 6, 2021. (Brent Stirton/Getty Images) Through close of business on May 3, the FBI has arrested 1,424 suspects in the 40 months since the breach and […]

Biden Says He'll Halt Offensive Weapons To Israel If It Invades Gaza Update(2025ET): President Biden spoke to CNN's Erin Burnett on Wednesday, and in the interview he issued some of the most significant warnings to America's closest Middle East ally to date, telling Israel that he's ready to halt offensive weapons transfers if its military launches a full invasion of Rafah. "Civilians have been killed in Gaza as a consequence of those bombs and other ways in which they go after population centers," Biden said. "I made it clear that if they go into Rafah — they haven’t gone […]

Philadelphia Mayor Starts Long-Awaited Process Of Cleaning Out City's Open Air Drug Markets Philadelphia's new mayor Cherelle Parker may be succeeding with what seems like a relatively simple task that her predecessors were wholly incapable of performing: cleaning out the city's open air drug markets in its Kensington section. Pay attention, Democrats. There's a chance it actually can be done. During Monday's Committee of the Whole meeting, City Council members pressed Managing Director Adam Thiel and other officials for details on the planned "encampment resolution" in […]

Putin Doesn't Bluff Authored by James Rickards via DailyReckoning.com, Two weeks ago, the Congress passed (and President Biden signed) four key pieces of legislation related to national security. Three of the bills provided assistance to Ukraine, Israel and Taiwan. They received the most attention. The one that got the least attention was a mixed bag of provisions, such as a forced divestiture of TikTok. Included in that bill was something called the REPO Act that authorizes the president to steal any Russian assets, including U.S. Treasury securities, that come under U.S. […]

Look at this economic depression happening right now... The post Look At This Economic Depression Happening Right Now appeared first on King World News.

RFK Jr Challenges Trump To Debate At Libertarian Convention Hoping to exploit their overlapping appearance commitments, independent presidential candidate Robert F. Kennedy, Jr on Tuesday challenged Donald Trump to a debate at the Libertarian Party's national convention this month, saying it represents "perfect neutral territory."  Playing to Trump's ego, Kennedy's invitation started off with an expression of gratitude to the former president for spotlighting major media's "rigged polling" against Trump.  "We have this concern too," said Kennedy in a lengthy post on X, […]

Democrats Join Republicans To Block Greene's Bid To Oust Speaker Johnson By Joseph Lord of Epoch Times The House of Representatives on May 8 overwhelmingly voted to block a measure to strip House Speaker Mike Johnson (R-La.) of the gavel advanced by Rep. Marjorie Taylor Greene (R-Ga.). Rep. Marjorie Taylor Greene (R-Ga.) forced a vote on a motion to vacate after meeting with the speaker twice this week to discuss her grievances and demands. House Majority Whip Steve Scalise (R-La.) then offered a measure to table Ms. Greene’s motion to vacate. Democrats joined Republicans […]

Office Tower Turmoil In NYC Worsens Ahead Of Trillion Dollar Maturity Wall  A combination of factors, including remote work, an exodus of progressive cities, higher interest rates for longer, and diminished credit availability, continues to pressure the office tower market nationwide. The latest example of challenges facing the $20 trillion commercial real estate market comes from New York City. Bloomberg reports that the $400 million loan backing 1440 Broadway, a 25-story tower at the corner of Broadway and 40th Street in Midtown Manhattan, has fallen into delinquent […]

500 Individuals Recount Discrimination, Sexual Harassment At FDIC In New 200-Page Report Authored by Andrew Moran via The Epoch Times, The Federal Deposit Insurance (FDIC) failed to provide its employees a safe workplace free from “sexual harassment, discrimination, and other interpersonal misconduct,” a new report released on Tuesday concluded. Martin Gruenberg, chairman of the Federal Deposit Insurance Corporation (FDIC), testifies before the House Financial Services Committee in Washington on Nov. 15, 2023. (Madalina Vasiliu/The Epoch Times) The more than 200-page […]

Gen-Zers Slide Deeper Into Debt As Bidenomics Failure Crushes America's Future Leaders  It may seem crazy, but here's some advice for heavily indebted Gen-Zers: Put down the smartphone. Stop spending on DoorDash and Uber Eats. Perhaps cancel a few streaming services. Also, the spending party is over despite calls from the White House to cancel student debt.  The rising debt load Gen-Zers are carrying is alarming. The average credit-card balance for 22- to 24-year-olds was $2,834 in 1Q23, compared with an average inflation-adjusted balance of $2,248 in the same period in […]

Be Careful What You Wish For: Weaker Yen A Blessing And A Curse For Japan By Simon White, Bloomberg Markets Live reporter and strategist A weaker yen will boost inflation in Japan, but it may do so to an undesirable extent, especially as there are growing signs price growth is becoming embedded. Be careful what you wish for. For years, Japan has yearned for sustainable inflation around 2%. Add a pandemic, a rise in energy prices and one of the most extensive and long-lasting loose monetary policies seen in the history of global central banking, and it may have got there. […]

AstraZeneca Pulls COVID Vaccine After Admitting Rare Side Effect In yet another damning development for the 'safe and effective' crowd, AstraZeneca has announced the worldwide withdrawal of its Oxford-AstraZeneca vaccine, branded as Vaxzevria, due to a rare but serious side effect. This decision marks the end of the vaccine once hailed as a "triumph for British science" by Boris Johnson and credited with saving over six million lives, The Telegraph reports.  The vaccine has been credited with saving millions of lives Credit: GETTY IMAGES EUROPE/MATTHEW HORWOOD The […]

Disney Cast Biological Male As "Evil Queen" At Florida Wilderness Lodge, Outraged Father Claims Video surfaced this week from Walt Disney World in Florida where, at the Wilderness Lodge resort, the company appears to have cast a biological male to play the role of Snow White's wicked queen.  “....the Evil Queen without a doubt had a man’s voice,” said the father of a family who dined at Wilderness Lodge, Brietbart and That Park Place reported.  The father reportedly said: "I told my waiter that I had a problem with something. He then asked what was the issue […]

The "Soft Landing" Lie: A Global Economic Slowdown Is Already Underway Authored by Brandon Smith via Alt-Market.us, If people have learned anything from the past few years of Ivy League elites and TV talking heads feeding them economic predictions, I hope they finally understand that the “experts” are usually wrong and that alternative analysts have a far better track record. Whenever establishment economists make a a call the opposite generally turns out to be true. By extension, alternative economic predictions are usually well ahead of the curve – What we talk about […]

When "Making It" Becomes Hopeless Authored by Charles Hugh Smith via OfTwoMinds blog, No wonder so many people devote themselves to curating an artificial digital representation of themselves that they reckon is worthy of recognition and status. What does it take to "make it" in today's economy? As described in Withdrawing from the Rat Race Is Going Global, the world has changed in fundamental ways that have made it much more difficult to "make it" into the ranks of the middle class, and even harder to claw one's way into the higher reaches of the economic order, i.e. the top […]

Inflation, while a key economic indicator, does not impact all demographics uniformly due to the aggregate nature of its measurement. Monthly inflation rates are calculated based on a general basket of goods which may not reflect the true spending habits of various groups, such as low-income or rural families. By examining disaggregated product groups and leveraging high-frequency online price data, researchers can uncover how inflation differentially affects diverse populations, revealing that the experience of inflation varies significantly among different groups.

ARM Loses Leg After Downbeat Annual Revenue Forecast It was all looking good for a second or two as ARM Holdings released earnings with top- and bottom-lines beating expectations... *ARM HOLDINGS PLC 4Q TOTAL REV. $928M, EST. $880.4M *ARM HOLDINGS PLC 4Q ADJ EPS 36C, EST. 30C So good, so far, then the chip designer said that sales will be $875 million to $925 million in the June quarter (which compares favorably with an average analyst estimate of $868 million). But then the hammer fell... However, the company forecasts that for fiscal 2025, which ends next […]

BCA strategist Roukaya Ibrahim predicts that a recession by early 2025, influenced by continued unemployment and economic difficulties in China, could lead to a 30% decline in the stock market. This view is echoed by Wall Street veteran Gary Shilling, who shared similar concerns with Business Insider. Ibrahim identifies two key factors that signal an impending recession by the end of this year or early next, potentially triggering a significant market correction.

In April, gold prices rose by 4%, closing at $2,307 per ounce, despite a pullback from intra-month highs due to reduced buyer interest and profit-taking, evidenced by lower Chinese premiums, decreased Indian imports, and stable COMEX positions. Conversely, North American gold ETF flows saw a modest increase, aligning with continued strong demand in Asian ETFs.

During the pandemic, Americans saved an impressive $2.1 trillion, fueling sustained consumer spending and economic resilience amidst rising interest rates and persistent inflation. However, recent reports from San Francisco Federal Reserve economists Hamza Abdelrahman and Luiz Edgard Oliveira indicate that these pandemic-era savings are now depleted, with many Americans having more debt than savings as of March 2024. This shift from savings to debt raises concerns about the future of consumer spending, which is a key driver of the U.S. economy. With the depletion of excess savings and an […]

In the wake of the Silicon Valley Bank collapse, the Federal Reserve introduced the Bank Term Funding Program (BTFP) to stabilize the financial sector, but this program has recently expired. Simultaneously, the anticipation of a Federal Reserve rate cut has been delayed indefinitely due to ongoing high inflation. This delay means that banks continue to face tough competition from higher-yielding money market funds for depositors. This dual pressure of the expired assistance program and the deferral of rate cuts poses significant challenges for banks, suggesting that now might be an opportune […]

Three years after the initial economic disruptions of 2021 and 2022, the lingering effects of those events are still significantly influencing inflation rates in 2024. The primary driver of the current inflation, particularly in the shelter sector where rents and homeowners' equivalent rent have increased by 6.1% annually, stems from these past disruptions. According to Goldman Sachs economist Ronnie Walker, this persistent high inflation is more about "lagged catch-up" rather than a new wave of increases, suggesting that once these residual effects dissipate, inflation is expected to […]

As the US dollar strengthens, driven by ongoing Federal Reserve interest rate hikes, China and other emerging economies are increasingly turning to gold as a hedge against economic instability and the rising cost of imports. In April, China's central bank added 60,000 troy ounces to its reserves, continuing an 18-month trend of significant gold acquisitions. This surge in gold buying reflects both a response to economic uncertainties and an effort to mitigate the impact of the dollar's strength, which has surged 10% since early 2022, complicating trade dynamics for countries like China.

Oil prices dropped to their lowest levels since mid-March, exacerbated by a bearish US stockpile report indicating increased inventory levels. Brent crude approached $82 a barrel, and West Texas Intermediate hovered around $77. Industry estimates suggest a significant rise in crude stockpiles at Cushing, along with increased gasoline and distillate inventories nationwide. This uptick in stockpiles is just one component of a broader market softening, evidenced by negative trends in weekly derivatives and timespreads, suggesting an oversupply not seen since March. The ongoing price decline, […]

This is how bad it is for the average person right now... The post This Is How Bad It Is For The Average Person Right Now appeared first on King World News.

On Wednesday, the dollar regained some strength, buoyed by diminished expectations for Federal Reserve rate cuts, while the yen continued its decline, prompting Japanese officials to intensify warnings about potential interventions to support the currency. As the yen hit a 34-year low, dropping to around 160 yen against the dollar, Japan reportedly spent about $60 billion last week in efforts to stabilize it. Meanwhile, in Europe, the Swedish crown weakened following a rate cut by its central bank, which also anticipates two additional reductions this year, and the British pound remained low […]

Wells Fargo senior economist Tim Quinlan is raising alarms over “phantom debt,” a growing concern stemming from the popularity of "Buy Now, Pay Later" (BNPL) platforms like Affirm Holdings, Klarna, and Block Inc.’s Afterpay. These platforms, which let consumers split purchases into installments, do not report these transactions to credit agencies. This lack of transparency is troubling for market analysts and economists as it obscures a complete picture of American financial health—a critical element for predictions and planning by central banks, regional lenders, and businesses. This […]

Gold prices remained stable Wednesday, balancing between geopolitical tensions that boosted its safe-haven appeal and a strengthening U.S. dollar that typically diminishes gold's attractiveness to investors holding other currencies. Despite fluctuating conditions, spot gold was flat at $2,315.98 per ounce by midday GMT, while U.S. gold futures saw a minimal decrease of 0.01% to $2,324.00. The dollar's recovery, influenced by speculation about potential Federal Reserve rate cuts, contrasts with the ongoing uncertainty regarding inflation and the Fed's future monetary policy. With traders […]

Due to the strong U.S. dollar, exacerbated by the Federal Reserve's interest rate hikes since March 2022, China's central bank, among others, is increasingly investing in gold as a hedge against economic uncertainty. With the Dollar Index up 10% since early 2022, the cost of imports for emerging nations like China has surged, further driving their shift towards gold. This trend has led to a record spike in gold prices, as evidenced by China's central bank adding 60,000 troy ounces to its reserves in April alone, marking the 18th consecutive month of significant gold acquisitions.

One thing you can count on in 2024; expect market distortions to get much worse from here. The post HYPER-BUBBLE 2024: Expect Market Distortions To Get Much Worse From Here appeared first on King World News.

China's central bank added to its gold reserves for the 18th consecutive month in April, though the rate of acquisition has slowed due to soaring gold prices. The People’s Bank of China, a major player in the bullion market, purchased 60,000 troy ounces in April, a significant decrease from the 160,000 ounces bought in March and 390,000 in February. This slowdown occurs as gold prices hit record highs, impacting demand even as first-quarter purchases by central banks globally were the strongest on record, driven in part by these institutions, as noted by the World Gold Council and supported […]

On Tuesday, the U.S. dollar saw a slight decline overall but gained strength against the Japanese yen amidst ongoing expectations of significant interest rate differentials. Despite recent warnings from Japanese officials about potential interventions to support the yen, the U.S. dollar's resilience highlights the anticipation of continued disparity in monetary policies. Japan's top currency diplomat, Masato Kanda, indicated the possibility of taking action against disorderly, speculative foreign exchange movements, following two suspected interventions last week that totaled nearly $60 […]

Crude oil futures climbed on Tuesday after Israeli Prime Minister Benjamin Netanyahu dismissed a Hamas-approved cease-fire proposal as "sabotage," committing instead to continue military operations in Rafah, Gaza. Netanyahu critiqued the proposal for falling short of Israel's essential demands. This rejection comes amid ongoing conflict, with Israeli forces taking control of the Rafah border crossing, an action that drew criticism from Egypt, which has been mediating the cease-fire talks. Defense Minister Yoav Gallant asserted that operations in Rafah would persist until their objectives […]

Copper prices briefly soared above $10,000 a ton amid investor optimism about potential Federal Reserve rate cuts and a warning from Goldman Sachs about escalating supply shortages. The surge was part of a broader rally in risk assets, sparked by weaker-than-expected U.S. job figures, which fueled speculation of imminent Fed rate reductions. Despite a slight retreat in European trading, the outlook for copper remains bullish, driven by persistent supply-demand imbalances. Goldman Sachs has responded by lifting its year-end copper price forecast from $10,000 to $12,000 a ton.

In this deep dive, Mike Maloney unpacks the complexities of our current economic landscape with sharp precision.

Here is a look at the Great Credit Crunch and a frozen market. The post The Great Credit Crunch And A Frozen Market appeared first on King World News.

US Treasuries are generating unprecedented returns, paying out about $2 million per minute in interest, as yields have surged to over 4% from virtually zero just two years ago. This dramatic shift, spurred by rate hikes from the Federal Reserve, has revitalized Treasuries as a stable source of income, reflecting their traditional economic role. Last year alone, interest payments on US government debt nearly doubled the decade's average to $900 billion, with projections from the Congressional Budget Office expecting this figure to continue rising annually.

Gold's price rebound has stalled this week, remaining capped below $2330 as it shows little response to US bond yields, the US dollar, or recent geopolitical developments. The market has entered a phase of consolidation, maintaining a narrow trading range with support near $2286 and resistance at $2330. Despite the general upward momentum, gold has struggled to break above the $2330 mark, largely unaffected by stable US bond yields and the dollar, as well as ongoing geopolitical tensions. For now, traders are favoring a range-bound strategy until a clear directional signal emerges.

China's "silver economy," driven by the middle-aged and elderly populations, is sparking a new gold rush. In 2023, retail sales from large-scale jewelry enterprises soared to 331 billion RMB ($45.7 billion), marking a 13.3% year-over-year increase, one of the highest growth rates across consumer goods. This surge in demand, both for personal adornment and investment, has prompted a significant uptick in new business registrations in the jewelry sector. Over 2.6 million new companies were registered from January to October 2023 alone, demonstrating an 89.9% increase from the previous year.

The upcoming 2024 U.S. presidential election is poised to significantly influence the markets for gold, silver, Platinum Group Metals (PGMs), copper, and crude oil. Regardless of whether the current political balance of power remains or shifts, the anticipated policy debates and adjustments in response to public opinion are expected to shape market dynamics. Notably, a potential change in administration could lead to reduced environmental spending impacting copper and silver negatively, while possibly benefiting PGMs and fossil fuels. The election's outcome will also affect America's foreign […]

In the midst of escalating geopolitical tensions, gold and copper have become key commodities, not just weathering market volatility but flourishing. Gold, a long-established safe-haven asset, has seen prices soar to near record highs due to its appeal in uncertain times, with central banks, especially in emerging markets, significantly boosting their reserves—290 tons in the first quarter of 2024 alone, a record according to the World Gold Council. This trend underscores a strategic pivot towards gold as a reserve currency, moving away from the U.S. dollar, and suggests that both gold and […]

Today Michael Oliver, the man who is well known for his deadly accurate forecasts on stocks, bonds, and major markets, shared with King World News precisely how to know when gold's correction is over, and the upside acceleration phase in the gold market will resume. The post Michael Oliver – This Is How You Will Know Gold’s Correction Is Over appeared first on King World News.

Inflation is reshaping the American middle-class dream. Once believing that a six-figure income would ensure a comfortable lifestyle with regular vacations and the ability to buy a home, many people today with "good jobs" find achieving these goals is nearly impossible. The reality of saving for a house or planning for future financial security feels out of reach for many, reflecting a broader trend where many in the middle class feel financially strained despite growing earnings and stable employment.

China's aggressive gold purchasing has significantly influenced the market, driving prices to over $2,400 per ounce amid global instability from conflicts like Ukraine's invasion and the Gaza war. This trend persists due to diminished confidence in traditional Chinese investments such as real estate and stocks, combined with the nation's central bank increasing its gold reserves and reducing U.S. debt holdings. Additionally, Chinese speculators anticipate further price gains, enhancing China's already substantial impact on the global gold market. This surge continues despite typical […]

The U.S. debt is escalating to unprecedented levels, and according to a former White House economist, Generation Z will bear the financial brunt of this burden, which has been exacerbated by previous generations and worsened by the Treasury Department's missed opportunities to mitigate the impact.

Today James Turk told King World News that the gold and silver correction is ending, but he also highlighted what is getting ready to soar. The post Turk: Gold & Silver Correction Ending, But Look At What Is Getting Ready To Soar appeared first on King World News.

Are you ready to witness the potential explosion in silver prices?

Crude oil's geopolitical risk premium, a surge in price due to fears of a broader Middle East conflict, has disappeared as tensions between Israel and Iran have eased. With the diminished threat of conflict, market volatility has returned to multiyear lows, and the options market now leans towards puts, indicating reduced expectations of price spikes. Factors like interest rates, OPEC+ supply adjustments, and global demand now dominate pricing considerations. According to Tanvir Sandhu from Bloomberg Intelligence, the likelihood of Brent crude reaching $100 by the year's end has dropped […]

U.S. Treasuries are generating substantial income for investors, marking a significant turnaround from nearly two decades of low returns due to zero-rate policies. As benchmark rates climbed from nearly 0% to over 5% within just two years, investors now see a reliable source of income in these government bonds. Last year, investors earned nearly $900 billion from U.S. government debt, a figure that's double the average of the previous decade. Moreover, over 90% of Treasuries now offer coupons of at least 4%, providing a strong buffer against potential rate hikes. This resurgence highlights […]

Gold prices are up as mixed economic signals emerged from the U.S., prompting optimism about a potential "soft landing" for the economy amid ongoing Federal Reserve efforts to combat inflation. The metal saw a 1% rise on Monday, recovering after two consecutive weeks of losses—the first since February. This rebound reflects investor reactions to a recent U.S. jobs report, which suggested a slowing economy and alleviated fears of a recession coupled with high inflation. Chicago Fed President Austan Goolsbee indicated that such data trends could support a case for easing monetary policy this […]

Gold prices rose on Monday due to a weakening U.S. dollar, following a disappointing U.S. jobs report that raised the possibility of the Federal Reserve cutting interest rates. Spot gold increased by 0.8% to $2,320.33 per ounce, while U.S. gold futures rose by 0.9% to $2,329.10. The underwhelming job growth and slowing wage increases suggest room for potential rate reductions by the Fed in 2024, according to Ricardo Evangelista, a senior analyst at ActivTrades.

Everyone wants to know if rate cuts are happening in 2024. Take a look... The post Everyone Wants To Know If Rate Cuts Are Happening In 2024 appeared first on King World News.

Today Nomi Prins, who has given keynote speeches to the World Bank, IMF, Federal Reserve, and many other prominent institutions, spoke with King World News about her correct prediction that the price of gold would hit $2,400 in 2024, but her next prediction will leave you shocked. The post Nomi Prins Correctly Predicted Gold Would Hit $2,400 This Year, But Her Next Prediction Will Leave You Shocked appeared first on King World News.

This is the biggest surprise about the massive rally in gold. The post This Is The Biggest Surprise About The Massive Rally In Gold appeared first on King World News.

As the gold and silver market continue to consolidate their large gains, a massive short position in the silver market may prove risky. Take a look... The post Massive Short Position In Silver May Prove Risky appeared first on King World News.

Over the last decade, many economists have promoted the use of debt to finance government spending, dismissing concerns about potential debt overhangs as advanced economies enjoyed low interest rates. However, the past two years have seen a significant shift in this perspective due to rising inflation and a return to normal long-term real interest rates. A recent reassessment by senior IMF economists highlights that with average debt-to-income ratios in advanced economies projected to rise to 120% of GDP by 2028 and higher borrowing costs becoming the norm, there is a pressing need for these […]

On Wednesday, the Federal Reserve maintained its interest rates, emphasizing the need for "greater confidence" that inflation will consistently approach the 2% target. Despite earlier hopes, inflation in early 2024 has exceeded expectations, leading to predictions that even if the Fed were to cut rates later this year, high interest rates on credit cards and mortgages are likely to persist through the end of 2024. Given the declining APYs on longer-term CDs and some high-yield savings accounts, now is an opportune moment to secure higher savings rates.

Alvin Tan, head of Asia FX strategy at RBC Capital Markets and the top currency forecaster, predicts the yen could weaken to 165 per dollar, a level last seen in 1986. Despite Japan's potential interventions to support its currency, the significant interest rate gap between Japan and the U.S. continues to drive the yen's decline. Tan suggests that effective intervention would require coordination with the U.S., as the currency is expected to breach the 160 level and possibly reach 165 amid sustained bearish sentiment.

The Brookings Institute explores the complexities of measuring real pay, which adjusts nominal earnings for inflation. Given the variety of pay and inflation metrics used, determining trends in real pay can yield differing results. Our interactive tool allows users to select any starting quarter and compare annualized changes in real pay to the most recent data, using four different pay measures and two inflation indices. By interacting with the data, users can see how real pay has shifted over selected periods, helping clarify the relationship between wages and the cost of living.

In April, U.S. job growth fell short of expectations with only 175,000 jobs added, compared to the forecasted 240,000, while the unemployment rate rose to 3.9%, marking a deviation from the recent trend of robust employment gains. This shift could influence the Federal Reserve’s strategy on interest rate adjustments. Additionally, average hourly earnings increased by only 0.2% month-over-month and 3.9% year-over-year, figures that were also below expectations, suggesting subdued inflationary pressures. The broader labor market indicators, such as the more comprehensive unemployment rate and […]

In a bold move to stabilize its currency, Japan is believed to have spent approximately ¥9 trillion ($59 billion) on market interventions over just four days, a move that traders and authorities have not officially confirmed. Despite these significant financial efforts, there are growing concerns among economists, traders, and businesses about the broader economic impact, as Japan's ageing and shrinking population continues to grapple with the after-effects of decades-long deflation. This large-scale intervention underscores the severe challenges the Japanese economy faces, and it may not […]

Recent interventions by Japanese officials to stabilize the yen have unsettled one of this year's most profitable financial strategies—carry trades. Typically, investors borrow yen due to its low yield and invest in higher-yielding emerging-market currencies. However, a spike in yen volatility to its highest level since July has led to losses this week, particularly affecting investments in the Indian rupee and Colombian peso. Data indicates that the carry-to-risk ratio for these yen-funded investments has dropped significantly from March peaks, suggesting a decrease in the strategy's […]

The XM Research Desk, manned by market expert professionals, provides live daily updates on all the major events of the global markets in the form of market reviews, forex news, technical analysis, investment topics, daily outlook and daily videos.

We'll also take you back 91 years to reflect on Executive Order 6102 — one of the most highly controversial pieces of legislation in American history.

The long-anticipated consumer pullback in spending is now evident in the restaurant industry, with notable chains like Starbucks, KFC, and McDonald’s experiencing declines in same-store sales. Starbucks saw a significant 17% drop in share prices following a surprising sales dip, attributed partially to adverse weather. Similarly, Yum Brands cited January snowstorms and challenging year-over-year comparisons for underwhelming performance across its brands, including Pizza Hut and Taco Bell.

The Biden administration has announced the forgiveness of $6.1 billion in student debt for 317,000 former students of The Art Institutes, following the chain's closure last fall amid fraud allegations. This move is part of President Biden's broader strategy to address the nation's $1.7 trillion student debt, especially after broader relief efforts were hindered by the Supreme Court last year. The Art Institutes were accused of misrepresenting employment rates and salary data, leaving many graduates with significant debt and few tangible benefits, according to U.S. Secretary of Education […]

Despite a slight stall in worker productivity in the first quarter, the U.S. labor market remains tight, with unemployment claims maintaining a steady, low level last week. Economists are optimistic, attributing the productivity slowdown to seasonal quirks and maintaining a positive outlook for the economy’s performance in the second quarter.

During a recent conference, Federal Reserve Chair Jerome Powell dismissed concerns about stagflation, referencing historical contexts where stagflation involved much harsher economic conditions than those seen today. Despite a GDP growth report of 1.6% and a core PCE price index increase of 3.7%, Powell cited current solid growth and inflation under 3% as evidence against imminent stagflation. However, given Powell's previous misjudgments on economic trends, including a missed prediction on post-pandemic inflation spikes, UBS has developed strategies in case his current assessments prove […]

The number of new unemployment claims last week stayed low, indicating a strong economic support into the second quarter. Despite a near halt in worker productivity growth in the first quarter, economists dismissed concerns, attributing the slowdown to seasonal patterns and affirming the overall solid productivity trend.

Gold prices declined on Thursday as investors reevaluated the likelihood of U.S. interest rate cuts after the Federal Reserve indicated that inflation progress has stalled, suggesting higher interest rates may persist longer. Despite a brief surge in gold prices following a dip in the dollar and Treasury yields, the gains were short-lived. The Fed’s recent decision to maintain steady interest rates, coupled with cautious remarks about potential rate cuts, reflects ongoing concerns about inflation. Analyst Ross Norman noted that while delayed rate cuts are generally seen as negative for […]

Federal Reserve Chair Jerome Powell emphasized the potential for declining inflation while maintaining a cautious tone on interest rates, acknowledging them as restrictive. Despite Powell's optimism, recent disappointing inflation and wage data have shifted investor focus from the Federal Reserve's forecasts to actual economic trends. Powell asserts his views, but as Neil Dutta from Renaissance Macro Research notes, it is the concrete inflation figures that will ultimately guide the Fed's actions. Meanwhile, the Fed's latest policy statement hints at a potential rate cut, though former […]

Join Alan Hubbard in today’s update on the massive increase in Chinese gold trading activity.

Hundreds of small and regional banks in the U.S. are under financial stress, with 282 facing significant risks from commercial real estate loans and the effects of higher interest rates, according to a study by Klaros Group. While these banks, predominantly holding less than $10 billion in assets, are not nearing insolvency, their strained financial conditions could lead to a reduction in investments like new branches and technology, potentially impacting communities and limiting direct services to customers. Fitch Ratings' Christopher Wolfe and Klaros Group's Brian Graham emphasize that the […]

Gold prices saw a modest recovery on Wednesday, climbing 0.9% to $2,306.80 per ounce, after the Federal Reserve opted to maintain its benchmark interest rate, which led to a slight retreat in both the dollar and U.S. Treasury yields. The unchanged rate and a weaker dollar made gold more attractive to investors using other currencies, contributing to the day’s gains. This rebound follows a recent dip in gold prices, influenced by diminished Middle East tensions and reduced expectations for early U.S. rate cuts, despite gold reaching a record high earlier in April due to robust demand from […]

The Japanese yen experienced dramatic fluctuations on April 29th, initially plummeting to a 34-year low of 160 against the dollar in early trading, only to rebound sharply later in the day. By the close of trading in Asia, the yen had recovered significantly, rising more than 2% to finish at 155 against the dollar. These swings highlight the ongoing challenges Japan faces in stabilizing its currency, which has seen a significant decline against the greenback over the past three years.

The U.S. Treasury has maintained its quarterly long-term debt issuance at $125 billion, while also announcing the initiation of its first buyback program in over two decades set to begin this month. These buybacks will involve 3-, 10-, and 30-year Treasuries. This decision follows three consecutive quarterly increases in note and bond sales, which reached record levels. The Treasury indicated earlier this year that no further increases are expected in the near future, and this stance was reiterated in their latest announcement. The easing of pressures on the Treasury is anticipated as the […]

Major U.S. corporations, like McDonald's, are noting concerns about the financial strain on low-income consumers due to persistent inflation. Despite a slight slowdown in price increases since the Federal Reserve began hiking interest rates in early 2022, companies note that consumers are becoming increasingly cautious with their spending. McDonald's CEO Chris Kempczinski highlighted during an earnings call that elevated daily expenses continue to pressure consumers globally. This ongoing financial strain has contributed to a significant drop in consumer confidence, reaching its lowest point […]

In April, private payrolls surpassed expectations, increasing by 192,000 jobs according to ADP, despite predictions of 183,000. This gain, although slightly lower than March's revised total of 208,000, underscores the U.S. labor market's ongoing strength. Additionally, wages rose by 5% year-over-year, marking a multi-year low, which contrasts with persistent inflation that has exceeded the forecasts of many economists and policymakers.

Palladium has fallen below platinum for the first time since February, reversing its long-standing price advantage. This shift reflects a weakening demand outlook for palladium, primarily used in gasoline-powered car catalytic converters, exacerbated by a shift in automaker preferences towards the relatively cheaper platinum amidst a broader economic recalibration since the Covid-19 pandemic. Meanwhile, platinum benefits from positive market projections and increased demand in plug-in hybrid vehicles, which use more platinum-group metals compared to traditional engines.

U.S. Treasury yields edged lower on Wednesday in anticipation of the Federal Reserve's upcoming interest rate decision and monetary policy guidance. The 10-year Treasury yield dropped by a basis point to 4.67%, while the 2-year yield fell by about three basis points to 5.019%, remaining just above the significant 5% threshold it surpassed on Tuesday. This movement highlights the inverse relationship between bond yields and prices, where each basis point shift represents a 0.01% change.

The U.S. dollar has strengthened significantly against virtually every major global currency this year, affecting nearly two-thirds of the 150 currencies monitored by Bloomberg. This shift, largely due to anticipations of Federal Reserve rate decisions amidst high inflation, has made U.S. assets more attractive and prompted a substantial influx of international capital into the U.S. This robust dollar, reaching heights last seen in the early 2000s, is having wide-reaching impacts from Brussels to Beijing and poses potential serious consequences for the global economy.

Despite expectations of economic tightening, Federal Reserve rate cuts appear unlikely as affluent Americans, particularly retiring baby boomers like Joan Harris, increase their discretionary spending. After retiring, Harris has significantly boosted her travel activities, indulging in more frequent and luxurious trips, including international destinations and first-class accommodations. Her newfound financial freedom, reflective of a broader trend among her demographic, supports continued consumer spending, which in turn sustains economic momentum and discourages rate reductions by the Fed.

McDonald's has reported a rare miss in quarterly profits, its first in two years, as it failed to meet analyst expectations due to budget-conscious consumers overlooking promotions amid broader economic concerns, including the impact from ongoing conflicts in the Middle East. This financial shortfall coincided with a continuing decline in global sales, marking a fourth consecutive quarter of slowed growth, with the latest figures showing an increase of only 1.9% compared to the anticipated 2.35%.

Tune in today for a much-requested update on Hedera Hashgraph with Brandon Hargreaves.

U.S. labor costs surged by 1.2% in the first quarter, marking the largest increase in a year and exceeding economists' forecasts, according to the Bureau of Labor Statistics. This rise in the employment cost index, a key indicator of wage and benefit costs, suggests ongoing wage pressures that contribute to persistent inflation. The data, which surprised markets, led to a drop in stock-index futures, an increase in Treasury yields, and a strengthening of the dollar.

In the first quarter of this year, the pace of pay and benefits growth for American workers increased, potentially heightening inflation concerns for the Federal Reserve. According to the Labor Department's Employment Cost Index, compensation rose by 1.2%, up from 0.9% in the previous quarter. This steady year-over-year growth rate of 4.2% could influence the Fed's decisions on interest rates, particularly with inflation fears looming as they conclude their latest policy meeting.

Patrick Gruhn, a German fintech entrepreneur and former FTX executive, purchased a gold pocket watch recovered from the Titanic for nearly $1.5 million at an auction, setting a record for Titanic memorabilia. The watch, which once belonged to American tycoon John Jacob Astor IV, was bought as a gift for his wife, Maren Gruhn, and will be displayed in museums. This sale was conducted by Henry Aldridge & Son, a renowned auction house specializing in Titanic items.

Global gold demand reached its highest first quarter level in eight years, with a 3% increase to 1,283.3 metric tons, the strongest since 2016. This surge was driven by robust investments in the over-the-counter market, where trades more than tripled to 136.4 metric tons from last year's 42.7 metric tons, and record-breaking purchases by central banks. Joe Cavatoni of the World Gold Council highlighted the significant ongoing role of gold in emerging-market central banks' reserve portfolios, suggesting a strong outlook for the remainder of the year.

China's recent accumulation of a $170 billion gold reserve, following a record 27-tonne purchase that raised its total to 2,262 tonnes, has sparked concerns over its preparations for potential conflict regarding Taiwan. The People’s Bank of China's strategic buying, which began in October 2022 and marks the longest gold stockpiling period since 2000, appears to be a precaution against Western sanctions in case of escalating tensions with Taiwan.

Despite record-high prices, India's gold demand rose by 8% to 136.6 tonnes in the March quarter, according to the World Gold Council's "Gold Demand Trends Q1 2024" report. This increase was driven by both a rise in the quarterly average prices by 11% and a volume growth that led to a 20% surge in value terms to Rs 75,470 crore. Jewelry demand grew by 4% to 95.5 tonnes, and investment in gold bars and coins jumped by 19% to 41.1 tonnes, compared to last year.

Japan is actively prepared to address foreign exchange issues, emphasized Masato Kanda, a top currency official, in light of recent market data indicating a possible $35 billion intervention by the finance ministry to support the depreciating yen. Although Kanda did not confirm Monday's sudden yen rise as an intervention, traders and a former official suggested it was. Additionally, central bank projections expect increased yen receipts, hinting at substantial yen purchases, which usually settle in two days.

Despite an 8% increase in India's gold demand in the March quarter, the World Gold Council (WGC) warns that soaring gold prices may reduce the country's total 2024 gold consumption to a four-year low. Sachin Jain, CEO of WGC's Indian operations, indicated that if prices keep rising, demand might drop to the lower end of the projected 700 to 800 metric tons range.

According to Mark Spitznagel, the renowned "Black Swan" investor and CIO of Universa Investments, the Federal Reserve is unlikely to cut interest rates unless it faces a severe economic downturn and market instability. In a recent Reuters interview, he highlighted that while investors anticipate one to two rate cuts in 2024, these would only occur in response to a significant economic weakening, suggesting that a market plunge and recession could precede any such rate adjustments.

As interest rates rise, America’s largest banks, including Wells Fargo, JPMorgan Chase, and Citi, are paying more in depositor fees than they are earning in interest income—a first since the Federal Reserve began rate hikes two years ago. Wells Fargo's deposit costs increased by $594 million this quarter, overshadowing a $1 million rise in interest income. Both JPMorgan Chase and Citi experienced similar trends, each paying about $350 million more to depositors than they earned. U.S. Bancorp also reported a decrease in net interest income, emphasizing the strategic financial adjustments […]

Investors across the U.S. are increasingly anxious about the upcoming presidential election, where President Biden may face former President Donald Trump again. Concerns are mounting about how the election's outcome could impact financial markets, including stocks, interest rates, and oil prices. Financial advisors are fielding numerous questions, while Wall Street strategists assess potential scenarios of a Democratic or Republican victory. BNP Paribas' chief U.S. economist, Carl Riccadonna, suggests this election could be one of the most consequential in recent history, influencing major […]

Amid concerns over America's surging $34.6 trillion debt, the BRICS nations are moving away from the dollar in their trading practices. China and Russia, key members of the alliance, plan to execute $260 billion in trade exclusively using the Russian ruble, Chinese yuan, and some euros, sidestepping the American dollar entirely. This strategy, expected to be adopted by other BRICS members soon, has prompted a mixed response of diplomacy and threats from the U.S.

Nearly 40 million U.S. families, or 29% of households, are categorized as ALICE (Asset Limited, Income Constrained, Employed), a term created by United Way to describe those earning above the poverty line but insufficient to meet basic needs. This statistic highlights the growing financial vulnerability amid sluggish wage growth and rising costs, with these families being just one emergency away from poverty. This is in addition to the 37.9 million Americans, or 11.5% of the population, already living below the poverty line according to the U.S. Census Bureau.

The surging price of gold, recently hitting a record high of $2,400 per ounce, has sparked a modern gold rush. People are discovering valuable assets in their homes, from old jewelry to gold coins, with just four one-ounce coins now valued at nearly $10,000. At places like Main Street Coin, numismatist Clay Wallen finds himself busier than ever, as customers like Chris Reynolds and Jim Payne cash in items such as old gold bracelets, reaping benefits like $200 for just a few pieces.

Oil prices fell to below $83 a barrel as progress towards a ceasefire between Israel and Hamas lessened the geopolitical risk associated with crude oil. West Texas Intermediate crude dropped 1.6% after reports of Israel's willingness to negotiate a truce, potentially starting with the release of 33 hostages. The momentum for peace is supported by U.S. Secretary of State Antony Blinken's efforts to broker a ceasefire during his regional visit, with Israel pausing any further military actions in Rafah ahead of discussions with American officials.

The US rate options market, sensitive to inflation trends, is cautiously pricing in potential Federal Reserve interest rate hikes for this year and next. Options on Secured Overnight Financing Rate (SOFR) futures, a key indicator used by bond investors to predict Fed policy, suggest a modest likelihood of rate increases. Despite current SOFR rates at 5.31%, market consensus is mixed, with some anticipating a possible single rate cut rather than multiple hikes, reflecting a strategy of maintaining higher rates longer amidst persistent inflation and a strong labor market.

US regulators have closed Republic Bank, marking 2024's first bank failure. The FDIC is safeguarding $10 billion, comprising $6 billion in assets and $4 billion in customer deposits, transferring them to Fulton Bank. Republic Bank’s 32 branches across New Jersey, Pennsylvania, and New York will resume operations under Fulton Bank this weekend or Monday, depending on regular branch hours. Customers can access funds through checks, ATMs, or debit cards. This transition follows significant bank failures in the previous year and comes amid ongoing concerns about the banking sector's stability […]

Gold prices rose modestly, rebounding from a 2% drop last week, in anticipation of the upcoming Federal Reserve meeting expected to maintain a policy of high interest rates for an extended period. Despite the broader anticipation of rate cuts this year diminishing due to recent inflation data, gold has gained over 13% this year, reaching record highs earlier this month. The upcoming U.S. jobs report will also play a crucial role in shaping market expectations.

Despite a period of dovish signals, the Federal Reserve is expected to revert to a hawkish stance due to rising inflation figures. This shift, anticipated by economists, comes after Federal Reserve Chair Jerome Powell previously indicated at a 2022 Jackson Hole meeting that tough measures might be necessary to manage inflation. Experts like Ellen Meade and Marc Giannoni suggest that recent easing in financial conditions will likely prompt a more stringent approach to monetary policy.

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The close movement between gold and the dollar, typically seen as defensive assets, is currently signaling a potential deep correction in the S&P 500. Historically, when these two assets converge in behavior, it often precedes significant downturns in the stock market, suggesting that investors should brace for possible declines.

U.S. inflation edged up in March, meeting expectations and reinforcing the view that the Federal Reserve will likely hold off on interest rate cuts until September. The personal consumption expenditures (PCE) price index rose by 0.3% last month, the same as in February, according to the Commerce Department's Bureau of Economic Analysis. This steady increase, in line with market forecasts, suggests that the central bank will maintain its current rate policy for the time being.

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Traders are increasingly betting on the U.S. Federal Reserve initiating its first interest rate cut of the year in September, following a recent government inflation report. This report, which indicated that the U.S. personal consumption expenditures (PCE) price index rose by 0.3% from February to March, has influenced interest rate futures prices. These now suggest a 65% probability of a rate cut during the Fed's mid-September meeting, a noticeable increase from the previous likelihood of less than 60%.

Inflation persisted in March, as revealed by the Federal Reserve's closely monitored personal consumption expenditures (PCE) price index. Excluding food and energy, the core PCE index rose by 2.8% year-over-year, surpassing the anticipated 2.7%, according to the Commerce Department. Including these volatile categories, the overall PCE index also exceeded expectations, climbing 2.7% compared to a forecasted 2.6%. Despite these figures indicating sustained inflationary pressure, market response was muted, with Treasury yields dipping slightly and Wall Street poised for a positive open.

Gold is on track for a weekly loss as U.S. inflation worries dampen demand, despite a modest increase ahead of critical inflation data due this Friday. The anticipated personal consumption expenditures index is expected to confirm that March continued to see high price pressures. Heightened inflation has raised doubts about the Federal Reserve's ability to lower borrowing costs, which has boosted Treasury yields—a negative for gold, which yields no interest. Compounding concerns, a recent report showing U.S. GDP growth falling short of expectations has reignited fears of stagflation, […]

The U.S. economy experienced its slowest growth in nearly two years last quarter, accompanied by a notable increase in inflation, which dampened hopes for a soft landing. The Bureau of Economic Analysis reported that the Gross Domestic Product (GDP) grew at an annualized rate of 1.6%, falling below all economists' forecasts. The primary driver of economic growth, personal spending, increased at a modest 2.5% rate, which was less than expected. Additionally, a widening trade deficit contributed to the slowdown, marking the largest subtraction from growth since 2022. Inflation also showed signs […]

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Gold's remarkable rise this year had analysts scratching their heads until a new force was identified: Chinese retail investors swarming the Shanghai Futures Exchange (SHFE). Despite headwinds like increasing Treasury yields and a robust dollar, trading volumes on the SHFE tripled, propelling gold prices upward. China's long-standing connection to gold, coupled with recent market uncertainty, has contributed to this surge, indicating a major shift in gold trading patterns. However, as gold prices fluctuate, questions persist about the SHFE's broader impact on the global gold market.

Zimbabwe's new gold-backed currency, the ZiG, experienced its first decline since its introduction this April, slipping nearly 1% to trade at 13.38 against the dollar on Thursday. This weakening aligns with recent drops in gold prices, which have seen a downturn over the past three days. The ZiG, an acronym for Zimbabwe Gold, is supported by a mix of precious metals, including approximately 2.5 tons of gold, and $100 million in foreign currency reserves maintained by the central bank. The currency debuted at 13.56 per dollar, replacing the significantly devalued Zimbabwean dollar, which had […]

In a month marked by remarkable surges in both Bitcoin and gold prices, speculation is growing about the sustainability of high interest rates in heavily indebted Western economies. These assets, usually favored by distinctly different investor groups, have seen simultaneous rallies, driven by soaring inflation and market volatility. Kathleen Brooks, Research Director at XTB, points out the significance of these parallel trends: "When gold and Bitcoin rise together, it prompts a deeper analysis of investor behavior. Both are capitalizing on the current market sentiment, as evidenced by record […]

As 2024 unfolds, the anticipation that the U.S. Federal Reserve might reduce interest rates has waned. Initially, the consensus was that a rate cut was imminent; however, four months into the year, the Fed's updated stance suggests no rush to lower rates, supported by a stronger-than-expected U.S. economy and persistent inflation. This cautious approach by the Fed is not just a concern for analysts and investors. Central bankers globally, particularly in Southeast Asia, are scrutinizing the Fed's moves closely. Their decisions on whether to adjust interest rates hinge significantly on the […]

The U.S. economy started the year on a weaker note than anticipated, with the GDP growth rate decelerating to 1.6% in the first quarter, as reported by the Commerce Department. This figure significantly undershot the 2.4% growth economists had projected based on surveys by Dow Jones. The Gross Domestic Product (GDP), which gauges the total output of goods and services, showed a marked slowdown from the 3.4% increase in the final quarter of 2023 and the 4.9% rise in the quarter before that. While consumer spending did grow by 2.5%, it was less robust compared to the 3.3% increase in the […]

Gold prices experienced a notable increase on Thursday, primarily driven by a declining U.S. dollar. Investors are now closely monitoring upcoming U.S. economic data, which could provide significant insights into the Federal Reserve's future interest rate decisions. As of midday in London, spot gold climbed 0.6% to reach $2,328.61 per ounce. Meanwhile, U.S. gold futures saw a modest rise of 0.1%, settling at $2,341.00 per ounce.

In response to escalating Middle East tensions, Turkish investors like Faruk Mutlu are increasingly turning to gold as a safe investment. At a bustling jewelry store in Istanbul, Mutlu exchanged his savings for gold, citing its enduring value. The recent geopolitical instability, particularly the conflict between Israel and Iran, has fueled speculation about rising gold prices, spurring a rush to buy. This surge in demand is evident in Istanbul’s Kuyumcukent, the heart of Türkiye’s jewelry industry, where long lines at gold shops have become a common sight. Riza Gokay Tugsavrol, owner of […]

Vice President Constantino Chiwenga stated that Zimbabwe’s new currency, the ZiG, marks a significant move toward phasing out the US dollar in the national economy. Introduced on April 5 as a replacement for the unstable Zimbabwean dollar, the ZiG aims to restore monetary sovereignty in a country where over 80% of transactions are currently conducted in US dollars. Chiwenga emphasized the permanence of the ZiG, highlighting its role in Zimbabwe’s de-dollarization strategy, which focuses on fiscal discipline, monetary prudence, and economic revitalization.

As Wall Street anticipates key economic data, both stocks and bonds saw declines, affecting market sentiments about the Federal Reserve's forthcoming actions. After a notable two-month high, equities found it challenging to advance, with investors eyeing results from Meta Platforms Inc. In contrast, Tesla Inc. saw an 11% rise after Elon Musk announced plans for more affordable vehicles. Meanwhile, Nvidia Corp.'s rally paused, and Treasury yields climbed as a substantial note sale did little to alleviate concerns about the market's direction following this year's downturn.

Gold prices remained stable on Wednesday, recovering from recent lows as tensions in the Middle East subsided. Investors are now focusing on upcoming U.S. economic data, expected later this week, which may influence the Federal Reserve's interest rate decisions. Spot gold hovered at $2,322.09 per ounce as of 1:45 p.m. ET, with U.S. gold futures slightly down by 0.2% at $2,338.4. This follows a significant drop from the record high of $2,431.29 on April 12.

The yen has consistently weakened to a 34-year low against the dollar, sparking concerns about its impact on Japan's economy and stock market. While the depreciating yen has initially boosted Japan's stock market—especially benefiting major manufacturers whose overseas earnings increase in yen terms—the ongoing weakness is raising alarms. The Topix Index, heavily influenced by transport equipment and electrical machinery companies, showcases this growth, but the question remains: How low can the yen go before it does more harm than good?

Oil prices advanced, with West Texas Intermediate (WTI) closing near $83 a barrel, buoyed by the prospect of looser monetary policies which helped counterbalance diminishing geopolitical risk premiums. The oil market's gain was mirrored by a rally in equities, sparked by a report indicating this year's slowest growth in U.S. business activity—a development viewed by traders as a potential precursor to Federal Reserve interest rate cuts.

Gold prices remained stable on Wednesday, as diminished risk premiums related to Middle East tensions were counterbalanced by the market's anticipation of upcoming U.S. economic data. This data is expected to provide key insights into the Federal Reserve’s future interest rate decisions. Spot gold closed flat at $2,322.09 per ounce by mid-afternoon, maintaining its position after dropping to its lowest level since April 5 in the previous session. Meanwhile, U.S. gold futures saw a slight decline, settling 0.2% lower at $2,338.40.