Gold's violent reversal this month shows how a quick sentiment flip can erase value. Just last week, the yellow metal experienced one of the worst performances in decades, dropping 10.5%.Prices peaked just shy of $5,600 an ounce in late January, capping a powerful rally driven by geopolitical tension, central bank demand, and retail momentum. But after a volatile February, the Middle East war upended the rally. The rout continued this Monday, touching $4,100 an ounce before rebounding."Gold is right now tra ...

The oil-driven inflation shock rippling through global markets is now forcing a sharp rethink of U.S. monetary policy, with traders rapidly shifting from rate-cut expectations to pricing in potential hikes as crude continues to surge on Middle East supply disruptions. According to Bloomberg, markets are reassessing the Federal Reserve’s path as energy-driven inflation risks intensify. Fed funds futures now indicate a 50% probability that benchmark rates will be higher by at least 25 basis points after the ...

RT Mr hunter (@TrueGemHunter)🚨 Simple market situationRate cuts are impossibleIRAN WAR = market nukeOil up 40%+, Gas +30%, inflation expectations surgingStagflation risk rising as growth slows while prices run hotFed 0 cuts, rate hikes incoming 💀Energy surges, tech collapses, retail in panic ...

RT Mr hunter (@TrueGemHunter)🚨 Simple market situationRate cuts are impossibleIRAN WAR = market nukeOil up 40%+, Gas +30%, inflation expectations surgingStagflation risk rising as growth slows while prices run hotFed 0 cuts, rate hikes incoming 💀Energy surges, tech collapses, retail in panic ...

The Iran conflict has thrown both the U.S. economic outlook and Fed policy plans out the window. While geopolitical events tend to be short term in nature and conditions often return to the way they were after tensions settle, this conflict is looking more and more like it will be a problem for a while. It's also impacting what the Fed might be able to do this year. For months, the Fed Funds futures market has been pricing in rate cuts this year. Even with inflation remaining stubbornly above target and ...

RT Adam Kobeissi (@TKL_Adam)In a sudden turn of events, US 12-month inflation expectations have surged to 5.2%, the highest level since March 2023.In just 3 weeks, markets have gone from pricing-in rate cuts to rate hikes. https://t.co/jphiqMwniL ...

NOT GOING TO GET A TREATY OF VERSAILLES. IT DIDN'T REALLY PLAY OUT THE WAY WE HOPED. AFTER THAT, I KNEW THAT MIGHT NOT BE THE RIGHT REFERENCE, BUT I MEANT AS A POINT IN TIME.YEAH. JOHN MAYNARD KEYNES HAS SOMETHING TO SAY ABOUT THAT. LET'S BRING IN CNBC.SENIOR ECONOMICS REPORTER STEVE LIESMAN KNOWS ALL ABOUT THAT AHEAD OF THE FED STEVE. AND OF COURSE THE FED IS LOOKING AT A LOT OF THE SAME ISSUES AND INFLUENCES THAT WE'RE TRYING TO HASH OUT. AND AND PERHAPS DOESN'T HAVE A CLEAR ANSWER OF HOW IT MIGHT PROCEED ...

Central Banks and Interest Rates - 21 central banks are expected to meet this week without making any changes to interest rates, but future meetings may see anticipated rate hikes due to rising oil prices [1] - The Federal Reserve's potential response to oil price spikes is under scrutiny, with suggestions that hiking rates in response to temporary oil shocks could be detrimental to economic growth [2][3] Economic Impact of Rate Hikes - Hiking rates in response to an energy shock is viewed as harmful to the economy, particularly for small and medium enterprises that are crucial for growth [5][6] - Historical context is provided, referencing the European Central Bank's rate hike in 2008 when oil prices were high, which led to negative economic consequences [4][7] Private Debt Concerns - Private debt is acknowledged as a concern, particularly for small firms facing challenges, but current default rates remain low at around 5% to 6%, indicating no immediate crisis [8][9] - A potential rate hike could lead to a credit crunch, limiting access to credit for small and medium enterprises, which could exacerbate existing challenges [10] Fed's Role and Stagflation Risks - The Federal Reserve is urged to remain data-dependent, with concerns that maintaining or increasing rates could lead to stagflation if coupled with increased government spending [12] - The Fed's current stance is criticized for potentially harming job growth in small and medium enterprises, with estimates suggesting that elevated rates could destroy a million jobs [12]

TOKYO, Feb 6 (Reuters) - Currency intervention using Japan's foreign exchange reserves can deliver an immediate jolt to markets, but its ​impact would be more durable if accompanied by steady rate ‌hikes, a former top currency diplomat told Reuters. Takehiko Nakao, who served as vice finance minister ‌for international affairs between 2011 and 2013, made the remarks as the yen resumed its decline with Japan's election campaign entering its final stretch ahead of Sunday's vote. "Intervention using actua ...

Market Overview - The sharemarket opened positively, influenced by an upbeat Wall Street session and higher oil prices, with gains led by financials, consumer discretionary, and energy stocks [1] - The S&P/ASX 200 index rose 0.8% to 8,785.90 points, recovering from a 0.1% decline last week [2] Sector Performance - Financials advanced by 1.2%, recovering from a 2.5% decline the previous week due to concerns over potential rate hikes and market competition [2][8] - Consumer discretionary was the best-performing sector, gaining 2.12% and 3.01% over the past five days [7][10] - Energy stocks increased by 1.2%, driven by higher oil prices amid geopolitical tensions [8] Top Gainers - Light & Wonder Inc. (LNW) led the top performers, closing at $182.500, up $27.800, a gain of 17.970% [3][9] - Catapult Sports Ltd (CAT) rose to $4.410, gaining $0.270 or 6.521% [3][9] - Other notable gainers included Ramelius Resources Limited (RMS), Newmont Corporation (NEM), and Pantoro Gold Limited (PNR) [9] Notable Declines - Mesoblast Limited (MSB) was among the weakest performers, closing at $2.850, down $0.220 or 7.167% [5][10] - Super Retail Group Limited (SUL) fell to $14.890, down $0.830 or 5.280% [5][10] - Additional losses were seen in DroneShield Limited (DRO), Insurance Australia Group Limited (IAG), and BHP Group Limited (BHP) [6][10] Mining Sector - The mining sector slipped by 0.1%, impacted by a 1% decline in BHP due to rising iron ore inventories at Chinese ports [9][10]