Fed's Brainard: Rate hike will likely be appropriate soon

Ivan Delgado Independent Analyst

Lael Brainard, member of the Federal Reserve's Board of Governors, is crossing the wires, noting that a rate hike will likely be appropriate soon, given improved global conditions and continued growth.

Headlines

Says "constraints" of the past two years, caused by problems from Europe to China, are easing

Says Fed's employment and inflation goals are nearly met, allowing continued gradual pace of rate increases

Says risks to outlook are as balanced as they have been "for some time"

Says still supports plan to retain current size of Fed balance sheet until rates rise more

Says balance sheet policy should be "subordinate" to rate tightening because its impact on the economy is less well understood

Author

Ivan Delgado

Independent Analyst

Established in the Asian continent since 2009, Ivan studied a degree in Business at the University Pompeu Fabra (Barcelona), while also earning a postgraduate degree in Business Administration.

GBP/USD drops back to 1.3200 amid UK political chaos

GBP/USD has come under renewed selling pressure in the European session on Monday, falling back to the 1.3200 region. UK PM Keir Starmer is set to announce his exit plan later today. That continues to undermine the British Pound amid renewed haven demand for the US Dollar.

EUR/USD turns south toward 1.1400 amid concerns over Iran deal progress

EUR/USD turns south toward 1.1400 in the European trading hours on Monday. Concerns about progress for the US-Iran peace deal and expectations of higher US interest rates keep the US Dollar supported against the Euro. ECB President Lagarde is set to speak later on Monday.

Gold sticks to modest gains; bulls seem hesitant amid Fed hike bets, Iran risks

Gold attracts some buyers at the start of a new week, and seems to have snapped a three-day losing streak to a more than one-week low, touched last Friday. Crude Oil prices turn lower following a modest bullish gap after mediators Qatar and Pakistan announced a formal 60-day roadmap aimed at securing a final US-Iran peace deal. This helps ease concerns around inflation and higher interest rates, offering some support to the precious metal.

Breaking: Iran closes the Strait of Hormuz amid ceasefire deal violation

Iran says it is closing the Strait of Hormuz after accusing the United States (US) and Israel of violating the ceasefire. According to Iran, the decision came over the continued Israeli strikes in Lebanon. The Iranian Revolutionary Guard Corps Navy issued a warning to all vessels: "Do not approach the Strait of Hormuz; otherwise, your security will be jeopardized."

Cardano: Whale accumulation offers limited relief

Cardano (ADA) is trading near $0.158 on Monday after a steep 14% correction in the previous week. While on-chain data from Santiment indicates that some large holders accumulated ADA during the recent sell-off, derivatives market indicators remain mixed.

Regime change: Inside Kevin Warsh's first move to make the Fed unreadable on purpose

The rate did not move. That was the least interesting thing about Kevin Warsh's first meeting in charge of the Fed. The FOMC held its benchmark at 3.50%-3.75% for the fourth straight meeting, exactly as priced, and then the new chair used his first press conference to dismantle the machinery the market has leaned on for a decade.