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Peter Dutton hopes for RBA interest rate reduction soon

Dutton urges interest rate cut as RBA meets, but economists warn of limited relief amidst strong economic conditions.

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Dutton urges interest rate cut as RBA meets, but economists warn of limited relief amidst strong economic conditions.

In Short

Peter Dutton is urging the Reserve Bank of Australia to lower interest rates as economists predict a potential cut after four years. Concerns remain about the impact of government spending on inflation and living costs, while the current government highlights economic progress amid cautious expectations for modest rate reductions.

Many money market analysts and economists anticipate a cut during the upcoming RBA meeting, marking the first reduction in over four years. However, borrowers are cautioned against expecting significant relief in 2025.

Independent economist Saul Eslake warned that the RBA might not reduce rates as aggressively as other central banks.

He noted Australia’s peak cash rate of 4.35 per cent is much lower than those in the US and UK, and the government faces ongoing budget deficits. The current strength of the Australian economy relative to other nations and potential global inflation from trade policies are also influencing this cautious approach.

Dutton expressed concerns for Australians impacted by 12 rate increases during the current government’s term. He linked inflation to government spending, emphasizing its effects on living costs.

In contrast, Treasurer Jim Chalmers highlighted the economic progress made under the current government, focusing on reducing inflation, increasing wages, and maintaining low unemployment.

Money

Markets edge higher as 10-year yields hit new highs

Major stock indices rise slightly; 10-year Treasury yield hits 4.23% amid Fed Chair speculation, affecting small and mega-cap stocks.

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Major stock indices rise slightly; 10-year Treasury yield hits 4.23% amid Fed Chair speculation, affecting small and mega-cap stocks.


All major stock indices are starting the week slightly higher, giving investors cautious optimism. Analysts are keeping an eye on movements in small caps and mega-cap tech stocks amid these early gains.

The yield on the 10-year Treasury note has climbed to 4.23%, the highest since last September. This follows Kevin Warsh emerging as the frontrunner for the next Federal Reserve Chair, sparking speculation on future monetary policy.

Rising yields could trigger a pullback in small-cap stocks, while investors may pivot toward mega-cap tech, expected to deliver strong earnings growth. Overall, the market is likely to see a neutral to slightly bearish trend next week due to overbought conditions.

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Commodities surge as oil volatility and metals hit record highs

Oil prices fluctuate due to geopolitical tensions; precious metals soar amid inflation concerns, sparking a commodities rally.

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Oil prices fluctuate due to geopolitical tensions; precious metals soar amid inflation concerns, sparking a commodities rally.

Global commodities are on the move, with oil prices swinging sharply as geopolitical tensions involving Iran fuel uncertainty across energy markets. Traders are closely watching supply risks and political flashpoints, driving short-term volatility.

Precious metals are stealing the spotlight, pushing to record highs as investors seek safety amid inflation concerns, interest-rate uncertainty and rising global risk. At the same time, industrial metals are surging, supported by demand expectations and tightening supply.

To unpack what this means for markets and investors, we’re joined by Kyle Rodda from Capital.com to break down the key drivers behind this powerful commodities rally.

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#Commodities #OilPrices #Gold #Metals #MarketVolatility #Geopolitics #Investing #TickerNews


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Stocks slide and Trump cancels talks: What’s next for markets and Greenland?

U.S. stocks dip; S&P 500 down 0.9%, as investors react to weak bank earnings and market volatility.

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U.S. stocks dip; S&P 500 down 0.9%, as investors react to weak bank earnings and market volatility.


U.S. stocks fell for a second day on Wednesday, with the S&P 500 dropping 0.9% and the Dow Jones losing 164 points. Investors are reassessing record-high levels as major banks report weaker-than-expected earnings.

Wells Fargo shares tumbled more than 5% after disappointing revenue results, while Bank of America is down roughly 7% week to date. Citigroup and Wells Fargo have both seen declines of about 8%, highlighting volatility in the banking sector.

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#StockMarket #SP500 #DowJones #BankEarnings #TrumpNews #Iran #Greenland #Geopolitics


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