Latest news with #GoldmanSachsGroupInc
Mint
3 days ago
- Business
- Mint
Gold Extends Robust Gains as Trade Worries Spur Flight to Safety
(Bloomberg) -- Gold edged higher following its biggest daily jump in four weeks on a weaker dollar and stronger demand for havens due to trade and geopolitical risks. Bullion was near $3,390 an ounce after surging 2.8% on Monday as relations between Washington and Beijing deteriorated and the Russia-Ukraine war intensified. China accused the US of violating their recent trade deal and vowed to take measures to defend its interests, even as the White House later confirmed that the nation's leaders are likely to speak this week. Meanwhile, the European Union issued a fresh warning of countermeasures if President Donald Trump follows through on his tariff threats. With few signs of negotiation breakthroughs on the horizon, the latest developments have scuppered optimism that the US was progressing toward making a deal with the two biggest American trading partners. The greenback fell to its lowest since 2023, reflecting growing concerns over Trump's policies and their impacts on the economy. All of that is underscoring gold's haven appeal, which has ebbed since it hit a record high above $3,500 an ounce in April. The precious metal is still up more than a quarter so far this year though, with Goldman Sachs Group Inc. saying last week it would remain a hedge against inflation in long-term portfolios, along with oil. Spot gold rose 0.2% to $3,389.61 an ounce as of 7:23 a.m. in Singapore. The Bloomberg Dollar Spot Index steadied, following a 0.6% loss on Monday. Silver was flat, after hitting the highest since October. Platinum edged up, and palladium was little changed. Looking ahead, there are a slew of US labor-market indicators due this week — including the May employment report — which will help to steer the Federal Reserve's monetary policy. Lower rates are typically positive for non-interest-bearing bullion. More stories like this are available on
Yahoo
3 days ago
- Business
- Yahoo
High-yielding bonds in EM may beat peers as treasuries decline
Debt from India, Indonesia, Brazil and South Africa has outperformed EM peers since April 2, when US President Donald Trump shocked global markets with his tariffs. Riskier emerging-market bonds may continue to beat their lower-yielding peers as the dollar's slide softens a rise in Treasury yields, protecting investor returns, according to analysis by Bloomberg. Debt from India, Indonesia, Brazil and South Africa has outperformed EM peers since April 2, when US President Donald Trump shocked global markets with his tariffs. The dollar rose in the four previous instances since 2021 when 10-year emerging-market bonds reacted to a rise in US benchmark yields. This time, however, the dollar has fallen, allowing currency returns to compensate for the duration spillover impact from higher US yields. 'Spillovers from rising US back-end rates to EM rates might be lower this time around' due to the effect of the weakening greenback, Goldman Sachs Group Inc. strategists including Kamakshya Trivedi and Danny Suwanapruti wrote in a recent note. Higher-yielding EM bonds will tend to benefit more from this environment, they added. Dollar-funded investments into yielder EM bonds tend to be unhedged due to the high cost of implementing protection relative to their lower-yielding peers, and see larger FX gains when the dollar falls. The ratio of yield moves this quarter versus the historical average for India was minus 0.88, versus Indonesia, Brazil and South Africa at -0.57, -0.55 and -0.50 respectively. This means that India's yields in the most recent scenario have declined the most relative to its historical mean. Peers which offer lower yields, such as the Czech Republic and South Korea, tend to be more affected by the surge in US yields due to the tighter spreads. 'EM local markets have been a beneficiary of the weaker US dollar this year,' said Anders Faergemann, head of global sovereigns and economics at PineBridge Investments. 'A continuation of that trend would help to cushion local bond performance.' Start End Indonesia India Malaysia Thailand S. Korea S. Africa Poland Czech Mexico Brazil Chile Aug-3-2021 May-6-2022 0.65 0.91 1.34 1.66 1.54 1.15 5.13 2.89 2.16 3.13 0.77 Aug-1-2022 Oct-4-2022 0.09 0.09 0.54 0.55 0.79 0.23 1.45 1.01 1.10 (1.08) 0.92 July-19-2023 Oct-19-2023 0.64 0.34 0.30 0.78 0.77 0.87 0.48 0.67 1.24 1.21 1.14 Sept-16-2024 Jan-6-2025 0.41 0.00 0.07 (0.23) (0.11) 0.15 0.67 0.46 1.04 2.40 0.35 April-2-2025 May-21-2025 (0.25) (0.30) (0.18) (0.07) (0.02) (0.30) (0.19) 0.03 0.27 (0.78) (0.05) Ratio (0.57) (0.88) (0.32) (0.10) (0.03) (0.50) (0.10) 0.02 (0.20) (0.55) (0.07) See Also: Click here to stay updated with the Latest Business & Investment News in Singapore Alphabet leads US high-grade issuance rush DBS remains overweight US amid 'complex' and 'nuanced' landscape Constructive Asiadollar and Singdollar credit markets in 2024 Read more stories about where the money flows, and analysis of the biggest market stories from Singapore and around the World Get in-depth insights from our expert contributors, and dive into financial and economic trends Follow the market issue situation with our daily updates Or want more Lifestyle and Passion stories? Click here
Yahoo
3 days ago
- Business
- Yahoo
Gold Surges With Rising Global Tensions Boosting Haven Demand
(Bloomberg) -- Gold surged on revived demand for safer assets as the US and China traded accusations, while a dramatic series of attacks clouded the prospects of peace between Russia and Ukraine. Billionaire Steve Cohen Wants NY to Expand Taxpayer-Backed Ferry Where the Wild Children's Museums Are The Economic Benefits of Paying Workers to Move Now With Colorful Blocks, Tirana's Pyramid Represents a Changing Albania NYC Congestion Toll Brings In $216 Million in First Four Months Bullion climbed more than 2% after Kyiv staged drone strikes across Russia on Sunday, hitting airfields as far away as eastern Siberia. Around the same time, Moscow launched one of its longest attacks against Kyiv, ahead of crucial peace talks this week. Meanwhile, there are signs the truce in the US-China trade war is at risk after both sides accused the other of reneging on elements of their recent deal. President Donald Trump also stoked more worries by vowing to double import tariffs on foreign steel and aluminum to 50%, with Canada warning it would retaliate. A gauge of the greenback declined on Monday, making bullion more attractive for buyers in other currencies. All of that is restoring some of gold's haven appeal, which has ebbed somewhat since it hit a record high above $3,500 an ounce in April. The precious metal is still up more than a quarter so far this year though, with Goldman Sachs Group Inc. saying last week it would remain a hedge against inflation in long-term portfolios, along with oil. Spot gold rose 2% to $3,353.69 an ounce as of 9:57 a.m. in London. The Bloomberg Dollar Spot Index fell 0.4%. Silver and palladium rose, while platinum edged lower. Looking ahead, there are a slew of US labor-market indicators due this week — including the May employment report — which will help to steer the Federal Reserve's monetary policy. YouTube Is Swallowing TV Whole, and It's Coming for the Sitcom Millions of Americans Are Obsessed With This Japanese Barbecue Sauce Mark Zuckerberg Loves MAGA Now. Will MAGA Ever Love Him Back? Will Small Business Owners Knock Down Trump's Mighty Tariffs? Trump Considers Deporting Migrants to Rwanda After the UK Decides Not To ©2025 Bloomberg L.P.
Yahoo
3 days ago
- Business
- Yahoo
Gold Climbs as Rising Geopolitical and Trade Tensions Aid Havens
(Bloomberg) -- Gold rose — after falling by 2% last week — as an increase in geopolitical and trade tensions revived demand for haven assets. Billionaire Steve Cohen Wants NY to Expand Taxpayer-Backed Ferry Where the Wild Children's Museums Are The Economic Benefits of Paying Workers to Move Now With Colorful Blocks, Tirana's Pyramid Represents a Changing Albania NYC Congestion Toll Brings In $216 Million in First Four Months Bullion climbed as much as 0.8% in Asia after Ukraine staged a dramatic series of drone strikes across Russia on Sunday, hitting airfields as far away as eastern Siberia. Around the same time, Moscow launched one of its longest attacks against Kyiv, ahead of crucial peace talks this week. President Donald Trump also stoked more worries over global trade at the weekend, vowing to double import tariffs on foreign steel and aluminum to 50%, with Canada's industry minister warning that it would retaliate. There are also signs the US-China truce is at risk after Trump accused Beijing of reneging on an agreement reached last month. All of that is restoring some of gold's haven appeal, which has ebbed somewhat since it hit a record high above $3,500 an ounce in April. The precious metal is still up more than a quarter so far this year though, with Goldman Sachs Group Inc. saying last week it would remain a hedge against inflation in long-term portfolios, along with oil. Spot gold rose 0.8% to $3,314.36 an ounce as of 12:52 p.m. in Singapore. The Bloomberg Dollar Spot Index dipped. Silver rose, while platinum and palladium edged lower. Looking ahead, there are a slew of labor-market indicators due this week — including the May employment report — which will help to steer US monetary policy. YouTube Is Swallowing TV Whole, and It's Coming for the Sitcom Millions of Americans Are Obsessed With This Japanese Barbecue Sauce Mark Zuckerberg Loves MAGA Now. Will MAGA Ever Love Him Back? Will Small Business Owners Knock Down Trump's Mighty Tariffs? Trump Considers Deporting Migrants to Rwanda After the UK Decides Not To ©2025 Bloomberg L.P.
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Business Standard
29-05-2025
- Business
- Business Standard
Trump can offset tariff ruling with other taxes, says Goldman Sachs
A court ruling that seeks to block President Donald Trump's 'Liberation Day' tariffs represents only a temporary setback to his trade agenda and can be offset by other taxes, according to analysts at Goldman Sachs Group Inc. The judgment by the US Court of International Trade halts 6.7 percentage points of levies announced this year and the White House could use other tariff tools to make up for that, the bank's economists said in a note to clients Thursday. 'This ruling represents a setback for the administration's tariff plans and increases uncertainty but might not change the final outcome for most major US trading partners,' chief US political economist Alec Phillips wrote. 'For now, we expect the Trump administration will find other ways to impose tariffs.' The trade court in Manhattan ruled on Wednesday that Trump wrongfully used an emergency law to collect tariffs on global trading partners, siding with a group of small businesses and Democratic-led states. A panel of three judges gave Trump's team 10 days to halt tariff collection in a decision that the White House has already appealed.
