Prices
The Federal Reserve’s fight with inflation could cool the hot labor market, risking stagflation
The Federal Reserve is hiking interest rates in an effort to defuse an explosive year of price inflation. But global forces could neutralize the effects of that tightening of monetary policy, and keep inflation high. Some observers believe the U.S. government may have misread the looming threat of inflation. During the pandemic, Uncle Sam dispersed […]
Read More
Here’s how you can prepare if there’s a half point rate hike from the Fed
Consumers are spending more to keep up with the surging cost of living and it may get worse before it gets better. “Even though wage growth has been the best in decades, it’s been outpaced by increased household costs,” said Greg McBride, chief financial analyst at Bankrate.com. “With inflation at a 40-year high, that has […]
Read More
Russia cuts key interest rate to 14%, says inflation could hit 23% this year
Russia’s President Vladimir Putin (L) and Russian Central Bank Governor Elvira Nabiullina Alexei Nikolsky\TASS via Getty Images However, with the ruble now returning to pre-war levels, policymakers are turning their attention to recalibrating the economy in an effort to absorb the impact of punitive sanctions from international powers. “The external environment for the Russian economy […]
Read More
Euro zone inflation hits record high for the sixth month in a row
Inflation in the euro zone remains well-above the ECB’s target, as energy and food prices soar. Bloomberg | Bloomberg | Getty Images Inflation in the euro zone has hit a record high for the sixth consecutive month, sparking further questions over how the European Central Bank will react. Headline inflation in the 19-member region reached […]
Read More
ECB dove says rate hike may come during the third quarter
European Central Bank Governing Council member Ignazio Visco has added his voice to heated discussions on when the ECB will begin to raise its benchmark interest rate. Rates in the euro zone have been negative following the region’s sovereign debt crisis, and the ECB has confirmed that it will conclude its net asset purchases in […]
Read More
StanChart profit beats estimates, flags strong outlook on rising rates
Standard Chartered posted a forecast-beating 6% rise in first-quarter profit, sending its shares sharply higher, as the emerging-markets focused lender benefited from rising interest rates aimed at controlling inflation. The London-headquartered lender, which is focused on Asia, Africa and the Middle East, now expects income growth this year to slightly exceed earlier guidance of 5-7%, underlining […]
Read More
Euro sinks to five-year low on energy supply, slowdown fears
The euro traded almost 0.4% against the U.S. dollar to a level not seen since 2017. This after Gazprom decided to cut gas supplies to Poland and Bulgaria. Kinga Krzeminska | Moment | Getty Images The euro tumbled against the U.S. dollar Wednesday morning as investors grew increasingly concerned with energy supply and a potential […]
Read More
High inflation may prompt people to change their summer vacation plans
Summer vacations plans could be in flux this year. This time, it’s not because of Covid-19. Instead, high prices due to inflation may prompt prospective travel goers to switch up their plans. In fact, 69% of adults who say they will take a vacation this summer anticipate changing their travel plans as prices have soared […]
Read More
UBS beats expectations for the first quarter; continues to reduce Russia exposure
UBS has beat expectations for the first quarter of 2022 and said it has further reduced its exposure to Russia. The Swiss bank on Tuesday reported net profit attributable to shareholders of $2.136 billion, above forecasts compiled by the bank of $1.79 billion. It marks a 17% rise from the $1.82 reported for the same period […]
Read More
The 10-year Treasury yield is getting closer to 3%. Here’s what that means for your money
d3sign | Moment | Getty Images As the yield on the 10-year U.S. Treasury pushes ever closer to 3% — a symbolic level not seen since late 2018 — financial analysts have described how it could affect people’s finances in a number of ways. Last week, the 10-year rate hit 2.94%, its highest point in […]
Read More