Asian stocks reached six-week highs and precious metals surged, especially silver hitting $80 per ounce, amid expectations of a Federal Reserve rate cut next year, which also pressured the dollar. Gold and silver experienced significant gains, with gold on track for its best year since 1979, driven by rate-cut bets and safe-haven demand. Stock markets across Asia posted strong gains, with South Korea's Kospi leading, while the yen strengthened slightly amid mixed signals from the Bank of Japan. Investors are focused on upcoming Fed minutes to gauge future rate moves.
Asian stocks reached six-week highs and precious metals hit record levels amid expectations of a Federal Reserve rate cut next year, with geopolitical tensions and currency movements influencing markets.
Despite the Federal Reserve's rate cut, mortgage rates increased, leading to a 3.8% decline in total mortgage applications, with refinancing applications dropping 4% and purchase applications falling 3%. The rise in rates has impacted loan demand, although refinance activity remains high compared to last year, and mortgage rates have slightly decreased at the start of the week amid ongoing economic data releases.
Following recent Fed rate cuts, the average 30-year fixed mortgage rate is now 6.17%, leading to a monthly payment of approximately $4,273.67 on a $700,000 loan, which is lower than earlier rates and can result in significant savings for borrowers. Shorter-term 15-year loans and refinancing options are also discussed as ways to potentially reduce costs further.
Federal Reserve Chair Jerome Powell highlighted the impact of AI on the labor market, noting a slowdown in job creation and increased layoffs linked to automation, which complicates the Fed's policy decisions amid a bifurcated economy where higher-income households benefit while lower-income consumers struggle. Despite strong investment in AI, employment remains weak, creating a dilemma for monetary policy as the economy shows signs of divergence.
Mortgage rates surged higher after the Fed's rate cut, contradicting common expectations that rates would benefit. The increase was driven by market reactions to Fed Chair Powell's comments, which caused volatility and a reassessment of future rate expectations, illustrating that Fed rate cuts often have limited immediate impact on market rates.
The stock market responded positively to the Fed's rate cut, with notable increases in stock prices and two big-name stocks receiving price target hikes, amid ongoing earnings reports and strategic moves by companies like Eli Lilly and Nvidia.
Dow Jones futures and major indices rose on hopes of a near-final U.S.-China trade deal, amid a week of significant earnings reports from tech giants like Apple, Microsoft, and Google, and an upcoming Fed rate cut. The market rally continues with record highs, driven by AI and infrastructure spending, while geopolitical and economic developments remain closely watched.
Stock futures increased ahead of a likely Federal Reserve interest rate cut and major Big Tech earnings reports, with positive investor sentiment boosted by expectations of a US-China trade deal and a strong recent market performance.
Dow futures rose on hopes of a China trade deal, with a busy week ahead featuring major earnings reports from tech giants, a Federal Reserve rate cut, and a Trump-Xi meeting, amid ongoing market rally and geopolitical developments.
Major cryptocurrencies, including Bitcoin, XRP, ETH, and SOL, are trading higher ahead of key events such as the Fed's expected rate cut, the Bank of Japan's decision, earnings reports from Mag 7 tech giants, and a high-profile US-China summit, all of which could influence market volatility.
The stock market reached record highs with a strong rally driven by major tech earnings and AI investments, amid ongoing US-China trade negotiations, tariff hikes, and a Federal Reserve rate cut expected this week. Key stocks like Apple, Microsoft, Nvidia, and Broadcom are in focus, with market strategies advising gradual exposure amid upcoming news events.
The stock market is reaching record highs with major earnings reports from tech giants like Apple, Microsoft, Meta, Google, and Amazon, amid expectations of a Fed rate cut and upcoming US-China trade talks, which could influence market direction.
With the Federal Reserve expected to cut rates next week, now is a good time to lock in high-yield CDs, such as OMB Bank's 4.36% APY for a 3-month term, to secure a guaranteed return before rates fall further.
Stock markets worldwide are rising amid optimism that President Trump may not impose new tariffs on China, coupled with strong economic data from China and expectations of a Federal Reserve rate cut, boosting investor confidence across Asia, Europe, and the US.
