Economy

Macroeconomic data, trends, and policy developments.

Coverage of key economic indicators, central bank policy decisions, inflation trends, labor data, and growth signals. This category focuses on the macroeconomic forces that shape markets, interest rates, and long-term capital allocation.

Articles

5,907 total articles

Why an Iran-U.S. truce is unlikely to pull the yen back from the brink

Why an Iran-U.S. truce is unlikely to pull the yen back from the brink

Markets rallied on Monday after news of a planned Iran-U.S. halt to hostilities, lifting stocks and bonds as inflation fears linked to the conflict eased. The yen, however, remained near the key 160 per dollar threshold that triggered large-scale government currency support last month. With the Bank of Japan poised to raise rates to 1% and Deputy G…

Trump Threatens 100% Tariffs on French Wine Unless Paris Drops 3% Tech Levy

Trump Threatens 100% Tariffs on French Wine Unless Paris Drops 3% Tech Levy

U.S. President Donald Trump told the New York Post that he has demanded France remove its 3% digital services levy on American technology firms or face 100% tariffs on all French wines and champagnes entering the United States. The ultimatum, delivered directly to outgoing French President Emmanuel Macron, escalates a dispute that could affect wine…

China Government Bonds Gain Traction as Low Correlation Recasts Safe-haven Choices

China Government Bonds Gain Traction as Low Correlation Recasts Safe-haven Choices

Since the outbreak of the Iran war, institutional investors have increased allocations to Chinese government bonds not for higher yields but for their near-zero correlation with Western sovereign markets. While benchmark yields in the U.S., U.K., Europe and Japan rose sharply since March, yields on comparable Chinese government bonds fell, promptin…

BoE Governor Defends Shrinking of UK Government Bond Holdings

BoE Governor Defends Shrinking of UK Government Bond Holdings

Bank of England Governor Andrew Bailey on Sunday defended the central bank’s decision to reduce its holdings of British government bonds, saying the move restores capacity to act in future crises. Writing in The Times, Bailey reiterated that previous purchases of government debt through quantitative easing were crucial in supporting the economy dur…

Taiwan Central Bank Poised for Rate Stability Amid Inflation Watch

Taiwan Central Bank Poised for Rate Stability Amid Inflation Watch

Taiwan's central bank is widely expected to maintain its current policy interest rate during its upcoming quarterly meeting. While the nation's export-oriented, technology-heavy economy continues to expand at a rapid pace driven by artificial intelligence demand, inflation has recently breached the central bank's caution threshold. Analysts project…

RBA June Meeting Preview: Market Braces for Hawkish Pause Amid Stagnant Growth

RBA June Meeting Preview: Market Braces for Hawkish Pause Amid Stagnant Growth

Australia's central bank is widely anticipated to maintain its current cash rate at 4.35% during its June policy meeting, focusing on the cumulative effects of recent tightening measures. The Reserve Bank of Australia (RBA) faces a complex economic landscape where inflation remains persistently above the target band, even as growth slows and househ…

BOJ Preview June: 25 bps Rate Hike Expected, Hawkish Outlook in Focus

BOJ Preview June: 25 bps Rate Hike Expected, Hawkish Outlook in Focus

The Bank of Japan is widely anticipated to implement a 25 basis point increase to its benchmark interest rate during its upcoming two-day policy meeting concluding on June 16. This adjustment, which would raise the rate to 1.0%, marks the bank's fourth tightening action since it began dismantling its ultra-low rate environment in 2024. The decision…

Dollar Retreats to 10-Day Low as U.S. and Iran Agree to Peace Framework

Dollar Retreats to 10-Day Low as U.S. and Iran Agree to Peace Framework

The U.S. dollar weakened across major currency pairs on Monday, falling to a 10-day low as the U.S. and Iran agreed on a framework to end hostilities, lift the U.S. blockade on Iran, and reopen the Strait of Hormuz. The geopolitical shift sent oil prices tumbling and fueled demand for riskier assets. However, uncertainty persists, particularly rega…

Markets React to U.S.-Iran Agreement on Strait of Hormuz Access

Markets React to U.S.-Iran Agreement on Strait of Hormuz Access

Asian equity and bond markets advanced on Monday following a diplomatic agreement between the United States and Iran aimed at reopening the strategic Strait of Hormuz and lifting U.S. restrictions on Iran. The resolution triggered a broad sell-off in the U.S. dollar, supported equity futures, and prompted a decline in crude oil prices, though marke…

New Fed Leadership Adds Uncertainty to Cooling U.S. Equity Rally

New Fed Leadership Adds Uncertainty to Cooling U.S. Equity Rally

The U.S. stock market has shown increasing volatility after a strong spring rally, and investors are focused on the Federal Reserve's upcoming policy meeting - the first under Chair Kevin Warsh. With major indexes retreating from recent highs, elevated volatility readings and fresh inflation and jobs data, market participants are parsing Fed commun…

UK detains tanker linked to Russia's shadow fleet in English Channel

UK detains tanker linked to Russia's shadow fleet in English Channel

British forces intercepted and boarded the oil tanker SMYRTOS after identifying it as part of the network of vessels known as Russia's shadow fleet. The vessel has been detained and is being monitored off the country's southern coast while inquiries proceed. UK officials said the operation took place within territorial waters and complied with dome…

Surge in South Korean Household Borrowing Tied to Equity Rally, Citi Warns

Surge in South Korean Household Borrowing Tied to Equity Rally, Citi Warns

Citi warns that a brisk rise in household borrowing in South Korea is linked to strong retail investment flows into equities and a strengthening housing market. Household loans jumped by KRW9.3 trillion in May, driven largely by personal credit lines and overdrafts, while retail stock purchases and asset reallocations away from time deposits and bo…

Japan to Send Delegation to Greenland to Assess Rare Earth Opportunities

Japan to Send Delegation to Greenland to Assess Rare Earth Opportunities

Japan is preparing a government and industry delegation to visit Greenland this summer to evaluate possible rare earth extraction. The group is expected to include officials from the Ministry of Economy, Trade, and Industry, trading company representatives and members of the Japan Organization for Metals and Energy Security. Talks with Greenland's …

Trump Says Iran Agreement Could Be Signed This Weekend; Tehran Questions Timing

Trump Says Iran Agreement Could Be Signed This Weekend; Tehran Questions Timing

U.S. President Donald Trump said an agreement with Iran to halt hostilities could be signed as soon as Sunday, pledging that the Strait of Hormuz would be open to all and asserting U.S. plans to secure and destroy Iran's nuclear material. Iranian officials have disputed the timing but have not ruled out a near-term signing, and say the proposed mem…

UK and Japan to Forge Deep Economic Partnership with £18 Billion Clean Energy Pact

UK and Japan to Forge Deep Economic Partnership with £18 Billion Clean Energy Pact

The United Kingdom and Japan are preparing to formalize an £18 billion investment agreement that will channel funds into clean energy, infrastructure, and financial services. This deal, expected to include up to £9 billion from Japanese sources for 5.9 gigawatts of floating offshore wind projects in the UK, aligns with both nations' macroeconomic g…

Why a U.S.-Iran Deal Could Tighten, Not Ease, Fed Policy

Why a U.S.-Iran Deal Could Tighten, Not Ease, Fed Policy

Bank of America analysts caution that a prospective U.S.-Iran agreement, while removing a geopolitical premium, could leave crude oil in a price band that increases inflationary pressure just enough to deter Federal Reserve rate cuts and potentially lead to further tightening instead of relief markets recently priced in.