The Fed decision rises unemployment rate in October
Auto strikes in October hampered job growth and increased the unemployment rate to 3.9%. The Bureau of Labor Statistics reported a 150,000 nonfarm payroll growth, while manufacturing employment declined by 35,000 due to UAW strikes at three major automakers. The data follows a strong September, but revisions removed 39,000 jobs. Wages grew less than predicted,…
The Fed still hold interest rates in November
The Federal Reserve held interest rates constant amid debates about whether financial conditions are tight enough to contain inflation or if an economy that outperforms expectations needs more constraint. Fed Chair Jerome Powell said the situation remained a dilemma, with officials willing to raise rates again if inflation stalls, wary of market-based interest rates, and…
US Jobless claims rose after Fed maintained rates
New unemployment claims rose marginally last week, reaching 217,000 seasonally adjusted for the week ending October 28. The job market is cooling, but tight conditions demonstrate the economy’s resilience. The U.S. central bank maintained interest rates constant but left the door open for potential rate hikes. Benefits increased by 35,000 following a week of aid,…
PayPal succeeded in maintaining investors on cryptomarket
PayPal Holdings gained over $4 billion despite a U.S. Securities and Exchange Commission subpoena for its stablecoin. The company’s shares rose 7% to $55.12, easing concerns about a spending slowdown. New CEO Alex Chriss emphasized that the company’s cost base remains too high, and will focus on its most profitable growth priorities. Block shares rose…
The Fed is tightening policy for financial condition
The Federal Reserve is set to maintain its target range of 5.25%-5.50% for short-term interest rates without any adjustments during a two-day meeting. However, the participants will discuss the future prospects of the US and potential policy measures. Recent data shows robust job growth and economic performance, but an anticipated increase in long-term borrowing costs…
Oil isn’t parameter for economic growth
The global economy and international trade have become less dependent on oil as a catalyst for economic growth and exports from the Middle East since the 1970s. The proportion of oil in the overall energy supply has decreased from 44% to 30%, while renewable energy sources have experienced an increase. However, oil producers in the…
The World Bank: oil prices could jump to $150 per barrel
The World Bank warns that a full-scale Middle East conflict due to Israel’s war in Gaza could lead to oil prices exceeding $150 per barrel. The bank compares this scenario to the 1973 Arab oil embargo and warns that even minor disruption could result in a significant increase in prices. Analysts also caution about the…
China economic is showing sign of stabilization
The Bank of Japan and Bank of England are set to hold policy-setting meetings this week, but traders are expected to focus on China’s purchasing managers index data. The Chinese economy is showing signs of stabilization, with the aviation regulatory authority increasing domestic flights by 34%. The U.S. nonfarm payrolls report for October is expected…