Latest news with #DeanTurner
International Business Times
4 days ago
- Business
- International Business Times
Global Stocks Dip Ahead of Trump's Tariff Deadline and Key Central Bank Decisions
Investors around the world retreated from the stock market on Friday to lock in profits after a strong week. The MSCI global stock index lost 0.2%, and Japan's Topix index fell 0.9% after hitting a record high on Thursday. In Europe, in early trading, the STOXX 600 sgare index fell 0.5%. Markets are now focused on several significant events next week. Investors are getting the jitters over President Trump's August 1 deadline for new trade tariffs with Europe and China. Meanwhile, central banks, including the U.S. Federal Reserve and the Bank of Japan, have meetings scheduled where policy moves are expected. Freepik Inflation and Tariffs Worry Investors While American economic data is strong, the positive benefits of both high inflation and tariffs, it's said, could dissipate soon. "If prices remain high, we might get some surprising behavior from people who choose to spend less," said UBS economist Dean Turner. Others, such as Van Luu of Russell Investments, think the recent strength may be just spending ahead of time before prices increase as a result of tariffs. U.S. government bond yields were little changed, with 4.41% on 10-year Treasuries and 3.92% on 2-year Notes. These rates show that investors are waiting for hints from the Fed about future interest rate cuts. President Trump unexpectedly visited the Fed on Thursday, which is seen as an unusual move. While he has said that he does not intend to fire Fed Chair Jerome Powell, tensions persist. Company Earnings and the Central Banks American companies, including Alphabet (Google's parent company), helped lift the Nasdaq to a record high on Thursday. But stock futures are indicating that Wall Street may hold steady at the start of trading today. Big earnings from Amazon, Apple, Meta, and Microsoft are expected next week and could lift markets. Meanwhile, the European Central Bank (ECB) held off on cutting interest rates this week, also to evaluate the impact of U.S. trade policy. Germany Bond yields climbed to their highest level since March in Germany. Government bond yields in Japan remained near 1.6%—their highest level since 2008—as pressure grows on Prime Minister Ishiba following his party's electoral defeat. Oil rises, and gold slips Commodities: Oil prices rose as optimism increased for additional trade agreements that would bolster the global economy. Brent crude added 0.7% to $69.65 a barrel. Gold, meanwhile, dipped 0.3% to $3,356 an ounce as appetites for safe assets moderated.
New Straits Times
4 days ago
- Business
- New Straits Times
Stocks drop worldwide as investors brace for crucial week
LONDON/TOKYO: Investors cashed out of highly valued global stocks on Friday and the dollar headed for its biggest weekly drop in a month ahead of a crucial week for markets that includes Donald Trump's tariff deadline and key central bank meetings. MSCI's global equity index retreated from an all-time high and was 0.2 per cent lower in early European trading, while Japan's Topix index ended the day 0.9 per cent lower after rising to a record on Thursday. Europe's STOXX 600 share index also fell 0.5 per cent in early trade. Ahead of the August 1 deadline for US trade deals with Europe and China, stock markets have been buoyed by firm US economic data and framed the risk of tariffs hitting growth as a reason to expect Federal Reserve rate cuts. "Higher (US) inflation will, in time, result in weaker demand and weaker investment," UBS Wealth Management economist Dean Turner said. Van Luu, head of solutions strategy, fixed income and foreign exchange at Russell Investments, said he was waiting for a buying opportunity in US Treasuries for this reason. "US data looks astonishingly resilient," he said, but this likely reflected a spending rush before tariffs pushed business input costs and retail sticker prices higher. Risk events The past week saw US trade agreements with Japan, Indonesia and the Philippines, while deal talks continued with South Korea. Next week brings the next Fed interest rate meeting, the closely watched monthly payrolls report, and earnings from Amazon, Apple, Meta and Microsoft. Trump has kept up pressure on Fed Chair Jerome Powell to cut rates after a rare presidential visit to the central bank on Thursday, although he said he did not intend to fire Powell, as he has frequently suggested he would. US 10-year Treasury yields were steady at 4.41 per cent, while two-year yields, which track monetary policy bets, were also flat at 3.92 per cent. Robust earnings from Google parent Alphabet took Wall Street's Nasdaq to a record high on Thursday, but futures trading signalled the tech-heavy index would flatline at the start of cash trading in New York. Contracts tracking the blue-chip S&P 500 index were also flat in early European dealings. The Bank of Japan has its own policy announcement on Thursday, and Prime Minister Ishiba's Liberal Democratic Party holds a meeting on the same day. That's after the European Central Bank held rates steady on Thursday, pausing its easing campaign as it waited to assess the impact from US tariffs. The euro was steady against the dollar on Friday at US$1.1745, although German government debt sold off, with the yield on benchmark 10-year Bunds up 5 basis points in early dealings to 2.74 per cent, the highest since March 28. Japanese government bond yields were steady on Friday at about 1.60 per cent, a level last seen in October 2008, having ratcheted higher on concerns the political scale is tilting more towards fiscal stimulus. This came after big gains for opposition parties backing consumption tax cuts in Sunday's upper house election. Pressure is building on the more fiscally hawkish Ishiba to quit after his coalition lost its majority in the vote, having done the same in lower house elections last October. Gold eased 0.3 per cent to around US$3,356 an ounce. Brent crude futures gained 0.7 per cent to US$69.65 a barrel.
The Advertiser
4 days ago
- Business
- The Advertiser
Asian stocks drop as investors brace for crucial week
Asian stocks retreated on Friday and the US dollar headed for its biggest weekly drop in a month ahead of a crucial week for markets that includes Donald Trump's tariff deadline and key central bank meetings. MSCI's global equity index retreated from an all-time high and was 0.2 per cent lower in early European trading while Japan's Nikkei index ended the day 0.7 per cent lower after two days of gains. Data released on Friday showed the inflation rate in Tokyo rose 2.9 per cent year-on-year in July, down from 3.1 per cent in June. Japanese government efforts to moderate inflation are working, though underlying Tokyo price pressures remain elevated, ING Economics said in a commentary. It expects the Bank of Japan to hold interest rates steady at its July 30-31 meeting, but said the central bank would likely raise its forecast for inflation. In the Chinese markets, Hong Kong's Hang Seng shed 1.1 per cent to 25,383.07 and the Shanghai Composite index slid 0.3 per cent to 3,593.38. Europe's STOXX 600 share index also fell 0.5 per cent in early trade. Ahead of the August 1 deadline for US trade deals with Europe and China, stock markets have been buoyed up by firm US economic data and framed the risk of tariffs hitting growth as a reason to expect Federal Reserve rate cuts. "Higher (US) inflation will, in time, result in weaker demand and weaker investment," UBS Wealth Management economist Dean Turner said. Van Luu, head of solutions strategy, fixed income and foreign exchange at Russell Investments, said he was waiting for a buying opportunity in US Treasuries for this reason. "US data looks astonishingly resilient," he said, but this likely reflected a spending rush before tariffs pushed business input costs and retail sticker prices higher. The past week saw US trade agreements with Japan, Indonesia and the Philippines, while deal talks continued with South Korea. Next week brings the next Fed interest rate meeting, the closely watched monthly payrolls report, and earnings from Amazon, Apple, Meta and Microsoft. Trump has kept up pressure on Fed Chair Jerome Powell to cut rates after a rare presidential visit to the central bank on Thursday, although he said he did not intend to fire Powell, as he has frequently suggested he would. US 10-year Treasury yields were steady at 4.41 per cent while two-year yields, which track monetary policy bets, were also flat at 3.923 per cent. Robust earnings from Google parent Alphabet took Wall Street's Nasdaq to a record high on Thursday but futures trading signalled the tech-heavy index would flatline at the start of cash trading in New York. Contracts tracking the blue-chip S&P 500 index were also flat in early European dealings. The Bank of Japan has its own policy announcement on Thursday, and Prime Minister Ishiba's Liberal Democratic Party holds a meeting on the same day. That's after the European Central Bank held rates steady on Thursday, pausing its easing campaign as it waited to assess the impact from US tariffs. The euro was steady against the dollar on Friday at $US1.1745 , although German government debt sold off, with the yield on benchmark 10-year Bunds up five basis points (bps) in early dealings to 2.74 per cent, the highest since March 28 . Japanese government bond yields were steady on Friday at about 1.6 per cent, a level last seen in October 2008, having ratcheted higher on concerns the political scale is tilting more towards fiscal stimulus. This came after big gains for opposition parties backing consumption tax cuts in Sunday's upper house election. Pressure is building on the more fiscally hawkish Ishiba to quit after his coalition lost its majority in the vote, having done the same in lower house elections last October. Gold eased 0.3 per cent to around $US3,356 an ounce. Brent crude futures gained 0.7 per cent to $US69.65 a barrel. with AP Asian stocks retreated on Friday and the US dollar headed for its biggest weekly drop in a month ahead of a crucial week for markets that includes Donald Trump's tariff deadline and key central bank meetings. MSCI's global equity index retreated from an all-time high and was 0.2 per cent lower in early European trading while Japan's Nikkei index ended the day 0.7 per cent lower after two days of gains. Data released on Friday showed the inflation rate in Tokyo rose 2.9 per cent year-on-year in July, down from 3.1 per cent in June. Japanese government efforts to moderate inflation are working, though underlying Tokyo price pressures remain elevated, ING Economics said in a commentary. It expects the Bank of Japan to hold interest rates steady at its July 30-31 meeting, but said the central bank would likely raise its forecast for inflation. In the Chinese markets, Hong Kong's Hang Seng shed 1.1 per cent to 25,383.07 and the Shanghai Composite index slid 0.3 per cent to 3,593.38. Europe's STOXX 600 share index also fell 0.5 per cent in early trade. Ahead of the August 1 deadline for US trade deals with Europe and China, stock markets have been buoyed up by firm US economic data and framed the risk of tariffs hitting growth as a reason to expect Federal Reserve rate cuts. "Higher (US) inflation will, in time, result in weaker demand and weaker investment," UBS Wealth Management economist Dean Turner said. Van Luu, head of solutions strategy, fixed income and foreign exchange at Russell Investments, said he was waiting for a buying opportunity in US Treasuries for this reason. "US data looks astonishingly resilient," he said, but this likely reflected a spending rush before tariffs pushed business input costs and retail sticker prices higher. The past week saw US trade agreements with Japan, Indonesia and the Philippines, while deal talks continued with South Korea. Next week brings the next Fed interest rate meeting, the closely watched monthly payrolls report, and earnings from Amazon, Apple, Meta and Microsoft. Trump has kept up pressure on Fed Chair Jerome Powell to cut rates after a rare presidential visit to the central bank on Thursday, although he said he did not intend to fire Powell, as he has frequently suggested he would. US 10-year Treasury yields were steady at 4.41 per cent while two-year yields, which track monetary policy bets, were also flat at 3.923 per cent. Robust earnings from Google parent Alphabet took Wall Street's Nasdaq to a record high on Thursday but futures trading signalled the tech-heavy index would flatline at the start of cash trading in New York. Contracts tracking the blue-chip S&P 500 index were also flat in early European dealings. The Bank of Japan has its own policy announcement on Thursday, and Prime Minister Ishiba's Liberal Democratic Party holds a meeting on the same day. That's after the European Central Bank held rates steady on Thursday, pausing its easing campaign as it waited to assess the impact from US tariffs. The euro was steady against the dollar on Friday at $US1.1745 , although German government debt sold off, with the yield on benchmark 10-year Bunds up five basis points (bps) in early dealings to 2.74 per cent, the highest since March 28 . Japanese government bond yields were steady on Friday at about 1.6 per cent, a level last seen in October 2008, having ratcheted higher on concerns the political scale is tilting more towards fiscal stimulus. This came after big gains for opposition parties backing consumption tax cuts in Sunday's upper house election. Pressure is building on the more fiscally hawkish Ishiba to quit after his coalition lost its majority in the vote, having done the same in lower house elections last October. Gold eased 0.3 per cent to around $US3,356 an ounce. Brent crude futures gained 0.7 per cent to $US69.65 a barrel. with AP Asian stocks retreated on Friday and the US dollar headed for its biggest weekly drop in a month ahead of a crucial week for markets that includes Donald Trump's tariff deadline and key central bank meetings. MSCI's global equity index retreated from an all-time high and was 0.2 per cent lower in early European trading while Japan's Nikkei index ended the day 0.7 per cent lower after two days of gains. Data released on Friday showed the inflation rate in Tokyo rose 2.9 per cent year-on-year in July, down from 3.1 per cent in June. Japanese government efforts to moderate inflation are working, though underlying Tokyo price pressures remain elevated, ING Economics said in a commentary. It expects the Bank of Japan to hold interest rates steady at its July 30-31 meeting, but said the central bank would likely raise its forecast for inflation. In the Chinese markets, Hong Kong's Hang Seng shed 1.1 per cent to 25,383.07 and the Shanghai Composite index slid 0.3 per cent to 3,593.38. Europe's STOXX 600 share index also fell 0.5 per cent in early trade. Ahead of the August 1 deadline for US trade deals with Europe and China, stock markets have been buoyed up by firm US economic data and framed the risk of tariffs hitting growth as a reason to expect Federal Reserve rate cuts. "Higher (US) inflation will, in time, result in weaker demand and weaker investment," UBS Wealth Management economist Dean Turner said. Van Luu, head of solutions strategy, fixed income and foreign exchange at Russell Investments, said he was waiting for a buying opportunity in US Treasuries for this reason. "US data looks astonishingly resilient," he said, but this likely reflected a spending rush before tariffs pushed business input costs and retail sticker prices higher. The past week saw US trade agreements with Japan, Indonesia and the Philippines, while deal talks continued with South Korea. Next week brings the next Fed interest rate meeting, the closely watched monthly payrolls report, and earnings from Amazon, Apple, Meta and Microsoft. Trump has kept up pressure on Fed Chair Jerome Powell to cut rates after a rare presidential visit to the central bank on Thursday, although he said he did not intend to fire Powell, as he has frequently suggested he would. US 10-year Treasury yields were steady at 4.41 per cent while two-year yields, which track monetary policy bets, were also flat at 3.923 per cent. Robust earnings from Google parent Alphabet took Wall Street's Nasdaq to a record high on Thursday but futures trading signalled the tech-heavy index would flatline at the start of cash trading in New York. Contracts tracking the blue-chip S&P 500 index were also flat in early European dealings. The Bank of Japan has its own policy announcement on Thursday, and Prime Minister Ishiba's Liberal Democratic Party holds a meeting on the same day. That's after the European Central Bank held rates steady on Thursday, pausing its easing campaign as it waited to assess the impact from US tariffs. The euro was steady against the dollar on Friday at $US1.1745 , although German government debt sold off, with the yield on benchmark 10-year Bunds up five basis points (bps) in early dealings to 2.74 per cent, the highest since March 28 . Japanese government bond yields were steady on Friday at about 1.6 per cent, a level last seen in October 2008, having ratcheted higher on concerns the political scale is tilting more towards fiscal stimulus. This came after big gains for opposition parties backing consumption tax cuts in Sunday's upper house election. Pressure is building on the more fiscally hawkish Ishiba to quit after his coalition lost its majority in the vote, having done the same in lower house elections last October. Gold eased 0.3 per cent to around $US3,356 an ounce. Brent crude futures gained 0.7 per cent to $US69.65 a barrel. with AP Asian stocks retreated on Friday and the US dollar headed for its biggest weekly drop in a month ahead of a crucial week for markets that includes Donald Trump's tariff deadline and key central bank meetings. MSCI's global equity index retreated from an all-time high and was 0.2 per cent lower in early European trading while Japan's Nikkei index ended the day 0.7 per cent lower after two days of gains. Data released on Friday showed the inflation rate in Tokyo rose 2.9 per cent year-on-year in July, down from 3.1 per cent in June. Japanese government efforts to moderate inflation are working, though underlying Tokyo price pressures remain elevated, ING Economics said in a commentary. It expects the Bank of Japan to hold interest rates steady at its July 30-31 meeting, but said the central bank would likely raise its forecast for inflation. In the Chinese markets, Hong Kong's Hang Seng shed 1.1 per cent to 25,383.07 and the Shanghai Composite index slid 0.3 per cent to 3,593.38. Europe's STOXX 600 share index also fell 0.5 per cent in early trade. Ahead of the August 1 deadline for US trade deals with Europe and China, stock markets have been buoyed up by firm US economic data and framed the risk of tariffs hitting growth as a reason to expect Federal Reserve rate cuts. "Higher (US) inflation will, in time, result in weaker demand and weaker investment," UBS Wealth Management economist Dean Turner said. Van Luu, head of solutions strategy, fixed income and foreign exchange at Russell Investments, said he was waiting for a buying opportunity in US Treasuries for this reason. "US data looks astonishingly resilient," he said, but this likely reflected a spending rush before tariffs pushed business input costs and retail sticker prices higher. The past week saw US trade agreements with Japan, Indonesia and the Philippines, while deal talks continued with South Korea. Next week brings the next Fed interest rate meeting, the closely watched monthly payrolls report, and earnings from Amazon, Apple, Meta and Microsoft. Trump has kept up pressure on Fed Chair Jerome Powell to cut rates after a rare presidential visit to the central bank on Thursday, although he said he did not intend to fire Powell, as he has frequently suggested he would. US 10-year Treasury yields were steady at 4.41 per cent while two-year yields, which track monetary policy bets, were also flat at 3.923 per cent. Robust earnings from Google parent Alphabet took Wall Street's Nasdaq to a record high on Thursday but futures trading signalled the tech-heavy index would flatline at the start of cash trading in New York. Contracts tracking the blue-chip S&P 500 index were also flat in early European dealings. The Bank of Japan has its own policy announcement on Thursday, and Prime Minister Ishiba's Liberal Democratic Party holds a meeting on the same day. That's after the European Central Bank held rates steady on Thursday, pausing its easing campaign as it waited to assess the impact from US tariffs. The euro was steady against the dollar on Friday at $US1.1745 , although German government debt sold off, with the yield on benchmark 10-year Bunds up five basis points (bps) in early dealings to 2.74 per cent, the highest since March 28 . Japanese government bond yields were steady on Friday at about 1.6 per cent, a level last seen in October 2008, having ratcheted higher on concerns the political scale is tilting more towards fiscal stimulus. This came after big gains for opposition parties backing consumption tax cuts in Sunday's upper house election. Pressure is building on the more fiscally hawkish Ishiba to quit after his coalition lost its majority in the vote, having done the same in lower house elections last October. Gold eased 0.3 per cent to around $US3,356 an ounce. Brent crude futures gained 0.7 per cent to $US69.65 a barrel. with AP
Zawya
4 days ago
- Business
- Zawya
Stocks drop worldwide as investors brace for crucial week
LONDON/TOKYO - Investors cashed out of highly valued global stocks on Friday and the dollar headed for its biggest weekly drop in a month ahead of a crucial week for markets that includes Donald Trump's tariff deadline and key central bank meetings. MSCI's global equity index retreated from an all-time high and was 0.2% lower in early European trading while Japan's Topix index ended the day 0.9% lower after rising to a record on Thursday. Europe's STOXX 600 share index also fell 0.5% in early trade. Ahead of the August 1 deadline for U.S. trade deals with Europe and China, stock markets have been buoyed up by firm U.S. economic data and framed the risk of tariffs hitting growth as a reason to expect Federal Reserve rate cuts. "Higher (U.S.) inflation will, in time, result in weaker demand and weaker investment," UBS Wealth Management economist Dean Turner said. Van Luu, head of solutions strategy, fixed income and foreign exchange at Russell Investments, said he was waiting for a buying opportunity in U.S. Treasuries for this reason. "U.S. data looks astonishingly resilient," he said, but this likely reflected a spending rush before tariffs pushed business input costs and retail sticker prices higher. RISK EVENTS The past week saw U.S. trade agreements with Japan, Indonesia and the Philippines, while deal talks continued with South Korea. Next week brings the next Fed interest rate meeting, the closely watched monthly payrolls report, and earnings from Amazon, Apple, Meta and Microsoft. Trump has kept up pressure on Fed Chair Jerome Powell to cut rates after a rare presidential visit to the central bank on Thursday, although he said he did not intend to fire Powell, as he has frequently suggested he would. U.S. 10-year Treasury yields were steady at 4.41% while two-year yields, which track monetary policy bets, were also flat at 3.923%. Robust earnings from Google parent Alphabet took Wall Street's Nasdaq to a record high on Thursday but futures trading signalled the tech-heavy index would flatline at the start of cash trading in New York. Contracts tracking the blue-chip S&P 500 index were also flat in early European dealings. The Bank of Japan has its own policy announcement on Thursday, and Prime Minister Ishiba's Liberal Democratic Party holds a meeting on the same day. That's after the European Central Bank held rates steady on Thursday, pausing its easing campaign as it waited to assess the impact from U.S. tariffs. The euro was steady against the dollar on Friday at $1.1745 , although German government debt sold off, with the yield on benchmark 10-year Bunds up 5 basis points (bps) in early dealings to 2.74%, the highest since March 28 . Japanese government bond yields were steady on Friday at about 1.6%, a level last seen in October 2008, having ratcheted higher on concerns the political scale is tilting more towards fiscal stimulus. This came after big gains for opposition parties backing consumption tax cuts in Sunday's upper house election. Pressure is building on the more fiscally hawkish Ishiba to quit after his coalition lost its majority in the vote, having done the same in lower house elections last October. Gold eased 0.3% to around $3,356 an ounce. Brent crude futures gained 0.7% to $69.65 a barrel.
