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Central Banks

All articles tagged with #central banks

Japan signals readiness to rescue the yen as intervention risk rises
business12 days ago

Japan signals readiness to rescue the yen as intervention risk rises

The yen firmed modestly after a senior Japanese finance official warned decisive government action may be required, a message traders interpreted as a prelude to intervention. The currency traded around ¥159.8 per dollar after briefly approaching ¥160, with BoJ Governor Ueda saying currency moves are being monitored for their impact on forecasts. The episode comes amid ongoing speculation about potential government action, including talks of intervention in crude-oil markets to shield households from higher energy costs.

Gold Bears, Bullish Bet: Long-Term Outlook Sees $10,000 by Decade's End
business18 days ago

Gold Bears, Bullish Bet: Long-Term Outlook Sees $10,000 by Decade's End

Gold slipped about 21% from its January peak and moved into bear market territory as the dollar strengthened and investors took profits, but veterans see the drop as a short-term swing within a longer bullish trend supported by ongoing geopolitical risk and central-bank demand. Strategists cited targets around $6,000 by year-end and $10,000 by the end of the decade, with a weaker dollar potentially helping a rebound and technical support near $4,100.

Prolonged energy shock rattles global markets amid LNG disruption
markets22 days ago

Prolonged energy shock rattles global markets amid LNG disruption

Stocks and government bonds slid across Europe and the US as investors priced in a protracted energy shock after Iran attacked Qatar’s Ras Laffan LNG complex, sending energy costs higher and boosting inflation expectations while central banks signalled potential policy action; oil and gas prices surged, gold fell, and equities retraced gains as traders reassessed risk.

European central banks hold rates as Iran conflict fuels inflation risk
business23 days ago

European central banks hold rates as Iran conflict fuels inflation risk

Major European central banks—the ECB, BoE, SNB and Riksbank—kept policy rates on hold as the Iran conflict raises energy prices and inflates inflation uncertainty. The ECB nudged its medium-term inflation outlook higher, while BoE officials warned of near-term price pressures, SNB signaled readiness to intervene in FX to defend price stability, and Riksbank remained vigilant for possible policy shifts depending on oil-price developments.

RBA hikes again as Middle East tension fuels inflation risk
economy25 days ago

RBA hikes again as Middle East tension fuels inflation risk

Australia’s Reserve Bank raised rates by 25 basis points to 4.1%—the second hike in as many months—citing higher fuel costs tied to Middle East disruption and firmer inflation expectations; the move tightens policy ahead of a week when the BoE, Fed, ECB and BoJ are expected to hold rates, with domestic inflation around 3.8% in January and growth uncertainty.

world25 days ago

Asia stocks rally on US tech gains as Iran tensions and RBA decision loom

Asia's equity benchmarks rose with tech names leading gains after a Wall Street rally, as Nvidia’s momentum bolstered sentiment across regional markets (KOSPI near 3%, Nikkei about 0.5%, Hang Seng ~1%). Traders also weighed persistent Middle East tensions keeping oil above $100 and monitored a busy week of central-bank decisions, including the Reserve Bank of Australia’s 25 basis-point rate hike to 4.10% in a tight vote, ahead of the Fed and Bank of Japan meetings.

Oil shocks reveal two market-movers dominating today
markets1 month ago

Oil shocks reveal two market-movers dominating today

Markets are focusing on two variables during oil-price spikes: how long the shock lasts and how the Fed and other central banks respond. Historically, oil shocks tend to dissipate within about three months, but central-bank policy can amplify inflation signals and move assets like the dollar and gold; the piece cites past shocks (1973, 1979, 1990, 2003, 2022) as context, noting U.S. stocks often outperform during such episodes.

Trump's Iran strikes accelerate a multipolar shift away from dollar dominance
world1 month ago

Trump's Iran strikes accelerate a multipolar shift away from dollar dominance

Trump’s strikes on Iran, framed as a breach of international norms, are part of a broader push that is accelerating de-dollarisation and a move toward a multipolar financial system. Central banks are diversifying reserves, new settlement infrastructures and digital currencies are forming, and BRICS-linked initiatives could bypass the dollar. While the dollar remains dominant in trade and U.S. Treasuries are still sought in crises, its share of global reserves has fallen from about 71% in 2001 to roughly 57%, signaling growing non-American financial influence and potential costs for Washington amid rising deficits.

Spain kicks off bid for ECB top job as Lagarde succession talk heats up
economy1 month ago

Spain kicks off bid for ECB top job as Lagarde succession talk heats up

Spain has become the first country to openly bid to succeed Christine Lagarde as ECB president, signaling Madrid’s aim for an influential leadership role at Europe’s central bank. Former Spanish central bank governor Pablo Hernández de Cos is widely seen as a leading candidate, with rivals such as Klaas Knot and a broader 2027 leadership reshuffle likely shaping the field.