The recent years have seen steep interest rate hikes by the Federal Reserve in an attempt to slow down the U.S. economy. However, contrary to expectations, these hikes have not had a significant impact on the overall economy. The economy has continued to grow at an annualized rate of over 2% in most quarters since
Economy
Policymaker Junko Nakagawa of the Bank of Japan recently stated that the central bank will persist in increasing interest rates if inflation progresses as projected. Nakagawa emphasized the importance of considering the potential consequences of market volatility on the economy and prices before deciding on further rate hikes. Despite ending negative interest rates in March
World Bank President Ajay Banga recently spoke at the Lowy Institute think tank in Sydney after visiting 27 countries, including Tuvalu and Fiji. He highlighted the need for the global lender to expedite its processes and streamline its operations in a world that is increasingly polarized. According to Banga, the aspirations of people worldwide are
As the new week begins, Wall Street is showing signs of a rebound from the heavy losses it experienced last week. Investors are optimistic about a potential soft landing scenario for the U.S. economy, especially with a crucial inflation report expected later in the week. Despite the recent volatility and uncertainty surrounding the health of
France has recently requested the European Commission to extend its deadline for submitting a plan to reduce its public deficit beyond Sept. 20. This request was made in order to align with Paris’ 2025 draft budget. The Finance Ministry emphasized the importance of coherence between the reduction plan and the future budget, indicating potential challenges
U.S. Treasury Secretary Janet Yellen recently shared her thoughts on her future plans after President Joe Biden’s term ends in January. During the Texas Tribune Festival in Austin, Texas, Yellen mentioned that she is “probably done” serving at the highest levels of government but left room for ambiguity by adding, “we’ll see.” This statement hints
Michel Barnier, known for his role in negotiating Brexit, has now been appointed as the Prime Minister of France. This new position comes with its own set of challenges as he steps into a country riven by deep political fault lines. With President Emmanuel Macron naming him as the Prime Minister, Barnier faces the task
The recent data from the Labor Department revealed a positive trend in the job market, with a decline in the number of Americans filing new applications for jobless benefits. This decrease in jobless claims indicates that layoffs are remaining low, which is a promising sign for the overall health of the labor market. The weekly
The recent release of soft U.S. manufacturing data has caused a ripple effect in global markets, with the Japanese yen emerging as a safe-haven currency while riskier options like the Australian dollar and sterling registered losses. This shift in market sentiment comes on the heels of the worst sell-off in almost a month on Wall
The European Central Bank (ECB) is facing a growing divide among policymakers regarding the outlook for economic growth. This discord could significantly influence the ongoing debate about potential rate cuts, with concerns regarding a recession on one side and inflation pressures on the other. While the ECB has already cut interest rates in June and