Following the "new king of bonds," Goldman Sachs also predicts that inflation in the USA will reach 4% this year.
Goldman Sachs predicts that by Christmas, the inflation rate in the USA may reach 4%, while Commodity inflation could surge to 6%-8%. Shortly after the Federal Reserve announced to hold steady on May 7th, and after the press conference by Fed Chair Jerome Powell, Jeffrey Gundlach of DoubleLine Capital also stated, "Given the current situation, the overall CPI increase by the end of this year could reach the '4' threshold."
Trump criticizes the Federal Reserve again for not lowering interest rates, but this time did not call for firing Powell.
① The Federal Reserve announces that it will maintain the target range for the federal funds rate between 4.25% and 4.50%, marking the third consecutive decision to keep rates unchanged; ② Trump criticized Federal Reserve Chairman Powell on social media, stating that he is "too late" and "clueless," but added that he "still really likes him."
Jobless Claims Fall in Latest Week, With No Sign of Recession or Layoffs
Q1 US Nonfarm Productivity Falls as Expected, Unit Labor Costs Jump
U.S. Productivity, Secret Sauce of Economy, Falls for First Time in Almost Three Years
Powell's stance of "not rushing to cut interest rates" has triggered a rise in U.S. Treasury yields as the market reassesses the Federal Reserve's policy path.
After Federal Reserve Chairman Powell stated that there would be no hasty reduction of borrowing costs, traders reduced their bets on Fed interest rate cuts, leading to an increase in US Treasury yields on Thursday.
Premature Fed Rate Cut Could Push 10-Year Treasury Yields Higher -- Market Talk
Daxin Bank: Maintains a neutral rating on US stocks and expects the Federal Reserve to cut interest rates as early as July or September.
The Federal Reserve remains inactive once again.
Fed Won't Commit on Rate-Cut Path Before Tariff-Pause Ends -- Market Talk
Sibori Investment Management: The Federal Reserve will not cut interest rates until September or later. Bullish on the prospects of high-quality Bonds.
The bank believes that the next possible time window for the Federal Reserve to cut interest rates will be in September, or even later. The Federal Reserve itself expects to cut rates only twice this year, while the market anticipates three cuts.
Treasury Yields Wobble as Fed Reaffirms Its Data Dependence -- Market Talk
March US Consumer Credit Posts Larger-Than-Expected Rebound
Daily Roundup of Key US Economic Data for May 7
U.S. stock market outlook | All three Equity Index futures are up, and the Federal Reserve's interest rate decision is imminent.
On May 7th (Wednesday), in Pre-Market Trading, the three major U.S. equity index futures all rose.
What caused the rapid reversal of the latest sell-off in the USA? Deutsche Bank: The main reasons are policy easing and the economy not entering recession.
Deutsche Bank stated that this round of market reversal is mainly attributed to three points: macroeconomic data shows that the USA economy has not fallen into recession; the decline in oil prices has alleviated inflationary pressures, providing room for potential interest rate cuts. Finally, the policies of the USA government have softened, and the tendency for trade protectionism has weakened.
U.S. stock valuations have reached warning levels again! The market is treading carefully before the Federal Reserve's decision.
The recent rebound in the stock market has caused valuation levels to rise again, and with the Federal Reserve about to announce its MMF policy decision, the market cannot afford any mistakes.
Markets Rattled As Trump Tariffs Overshadow Fed Calm
Bescent warns that the USA is at a "warning line" for debt, but still insists it will not fall into default.
① The U.S. Treasury Secretary Bentsen warned again on Tuesday in response to questions from the House of Representatives that the U.S. Treasury is at the "red line," close to exhausting its ability to stay within the federal debt ceiling; ② However, Bentsen assured once again that the U.S. government would never default on its debt and promised that the Treasury would not use "tricks" to circumvent the debt ceiling.
USA stock market: S&P 500 Index has fallen for two consecutive days, with risk aversion dominating Wall Street on the eve of the Federal Reserve's interest rate decision.
On the eve of the Federal Reserve's interest rate decision, risk aversion dominated Wall Street, leading to a decline in the US stock market. Comments on trade policy by US President Donald Trump failed to alleviate concerns about the economic damage that the trade war could cause.
The USA Treasury's 10-year bond auction was strong, with robust overseas investment demand.
Compared to the almost "zero liquidity" tension during the last 10-year U.S. Treasury auction, the market is clearly much calmer this time. After the auction results were released, U.S. Treasury yields fell sharply. Michael Faulkender, Deputy Secretary of the U.S. Treasury, stated that today's 10-year U.S. Treasury auction was very successful.