Anna's Daybreak News

Good morning news lovers! Embark on a journey through the tapestry of news as we unravel the threads of captivating stories, revealing the hidden gems and weaving together the latest updates that will keep you both informed and intrigued.🗞️🌄

• Federal Reserve officials are transitioning from whether rates should rise, to how long they should stay high


• Inflation pressures have eased, giving the central bank room to keep interest rates steady


• However, inflation is still above the 2% target rate, making policymakers hesitant


• And Goldman economists have even penciled in the FIRST Fed rate cut for Q2 of 2024, if the current trend continues


• Meanwhile, US Retail Sales Top Forecasts


• July sales rose 0.7% after upward revisions to prior months


• Broad gain included firmer sales at online, clothing retailers


• Suggests consumers still have the wherewithal to sustain the economic expansion, even when the fed is throwing harpoons at them.
Source: Read More

• The People’s Bank of China lowered the rate on its one-year loans by 15 basis points to 2.5%, the steepest cut in three years.


• July data showed weak consumer spending growth, sliding investment and rising unemployment.


• Xi Jinping has resisted pulling the trigger on a major stimulus to revive the world’s second-biggest economy.


• Will the surprise rate cut be enough to boost the economy, or will Xi Jinping have to take bigger steps before it's too late?
Source: Read More

• Fitch Ratings has signaled that it could further reduce its assessment of the banking industry, potentially leading to a downgrade for many of the more than 70 covered banks.


• In June, Fitch lowered its score of the U.S. banking industry's “operating environment” to AA- due to pressures on the country’s credit rating, regulatory gaps, and interest rate uncertainty.


• Competitor Moody’s recently downgraded 10 mid-sized banks and warned that others may be further weakened.


• Looks like for JPMorgan, and the entire banking industry, the writing is on the wall: buckle up and try to weather the storm
Source: Read More

• Russia has been selling less foreign goods, mainly due to Western sanctions, like price caps on crude and oil products.


• Imports have been steadily increasing, as people and companies are buying foreign goods for Rubles.


• Russia has also been revving up defense spending, pumping money into weapons companies that need to import parts and raw materials.


• This all comes on top of lowered oil prices and reduced trade surplus, which should otherwise be supporting the Ruble.


• The ruble has been recently trading at 1 penny per ruble


• One thing's for sure: Although Russians have found ways around sanctions, this 'rough' Ruble ride isn't over yet, and Putin could be facing a 'pricey' problem
Source : Read More

Baked with love,

Anna Eisenberg ❤️