Inflation news

The US labor market remains resilient despite a smaller-than-expected payrolls increase, with unemployment falling and wages rising. Inflation expectations have surged, prompting a reassessment of the Federal Reserve’s rate-cut timeline.

Global markets turn risk-off as Trump imposes new tariffs on Mexico, Canada, and China.

The AUD/USD reacts ahead of Australia's CPI release on January 29, 2025. Analysts predict a 2.5% headline inflation, influencing RBA's February rate decision.

UK inflation drops more than expected in December, easing some of the fears about the UK economy.

UK inflation hit 2.3% in October, exceeding expectations and the BOE's target. Core CPI climbed to 3.3% as energy prices and services pressures rose. Bond yields spiked, while GBP saw mixed moves across major pairs.

US inflation expectations are steady, with core CPI projected to remain at 3.2% for September while headline inflation moderates to its lowest level since February 2021. Despite the US Federal Reserve delivering a 50 basis point interest rate cut in September, stronger-than-expected job market data has raised concerns about sustained economic demand and inflation pressures.

RBA Governor Michelle Bullock emphasizes inflation challenges for Australia's economy, citing supply shocks and demand-supply imbalances. Discover insights on CPI trends, interest rates, and the central bank's strategy for managing price pressures in 2024.

The Bank of Japan will meet on September 20, 2024, with markets anticipating minimal policy changes. However, inflation risks remain, with core CPI at 2.7% and potential for future interest rate hikes.

As the US Federal Reserve prepares for its most significant decision since ending the rate hike cycle in mid-2023, the balance of risks has shifted. With inflation stabilizing at 2.6% and rising unemployment at 4.2%, the FOMC faces increasing pressure to address employment concerns. Markets anticipate a rate cut, with debate on the extent of the reduction.