Latest news with #PersonalConsumption
Yahoo
a day ago
- Business
- Yahoo
China-US trade, April inflation & imports, Gap: 3 Things
US stock futures (ES=F, NQ=F, YM=F) fall in Friday's pre-market trading after US Treasury Secretary Scott Bessent revealed that trade talks with Chinese officials have become "a bit stalled." April's Personal Consumption Expenditures (PCE) index saw inflation data soften, as US goods imported drop by nearly 20% month-over-month amid tariffs. Shares of the Gap (GAP) sink this morning as the company is anticipating impacts of up to $300 million from President Trump's tariffs in its latest earnings release. To watch more expert insights and analysis on the latest market action, check out more Morning Brief here. So let's get to the three things you need to know today. First up, US stock futures falling this morning as trade volatility returns to markets. President Trump lashing out against China today saying that they have violated their trade agreement. His comments coming after Treasury Secretary, Scott Benson said talks with China are quote a bit stalled. All of this following a federal appeals court ruling that offered a temporary reprieve to Trump from the trade court that had deemed his tariffs illegal. Plus the latest read on the economy out this morning. Inflation data coming in soft for the month of April, but consumer spending is showing signs of slowing. The standout in today's economic data, however, are some of the imports to the US which saw their biggest drop on record. April imports fell nearly 20% last month, according to the Census Bureau's advanced economic indicators report. And gap shares sinking this morning after the company predicted a tariff impact of $250 to $300 million and revealed weakness at Banana Republic and Athleta. The retailer is just the latest in the sector to highlight the impact of President Trump's trade war. The stock falling as much as 18%, putting it on track to erase almost its entire year to date gain. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CNN
a day ago
- Business
- CNN
Americans pulled back on their spending in April amid tariff rollout
American consumers reined in their spending in April following a tariff-fueled buying binge the month before, according to new data released Friday that also showed inflation cooled off again. Friday's report from the Commerce Department showed that consumer spending rose 0.2% last month, a weaker-than-anticipated reading but a notable retreat from March's 0.7% surge when Americans front-loaded purchases — notably new cars — ahead of potential price increases from President Donald Trump's tariffs. The latest data also showed inflation moving closer to the Federal Reserve's target of 2%, almost where it was before the tariffs rollout. The Personal Consumption Expenditures price index was 2.1% for the 12 months ended in April, a slowdown from the 2.3% annual gain in March. On a monthly basis, prices rose 0.1%, a slight acceleration after holding steady in March. Economists were expecting the PCE price index to rise 0.2% from March and to ease to an annual rate of 2.2%, and for spending to slow to 0.4%, according to FactSet. This story is developing and will be updated.
BusinessToday
a day ago
- Business
- BusinessToday
Ringgit Gains On US Dollar After Court Halts Tariff Block
The ringgit opened stronger against the US dollar this morning, buoyed by improved investor confidence in emerging market currencies following a temporary reprieve granted by a US court on Trump-era import tariffs. At 8 am, the local currency surged to 4.2180/2485 against the greenback, up from Thursday's close of 4.2390/2475. Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid explained that the US Dollar Index (DXY) slipped below the 100-point mark to 99.278 after the US Court of Appeals for the Federal Circuit stayed a US Court of International Trade ruling that would have blocked most Trump-era tariffs on Wednesday (US time). He noted, 'Apart from that, the second estimate for the first quarter of 2025 US gross domestic product (GDP) contracted 0.2 per cent quarter-on-quarter seasonally adjusted annualised rate (SAAR), slightly better than the first estimate of -0.3 per cent but lower than the 2.4 per cent expansion in the previous quarter.' The economist added that recent US economic data indicated weakening conditions, citing Initial Jobless Claims rising to 240,000 last week compared to consensus estimates of 229,000, while Continuous Jobless Claims increased to 1.91 million for the week ending May 17 from 1.89 million the prior week. Traders and investors are now awaiting the Personal Consumption Expenditure (PCE) inflation data. 'Consensus is pencilling the headline PCE and Core PCE at a moderate pace of 2.2 per cent and 2.5 per cent in April against 2.3 per cent and 2.6 per cent in the prior month,' he said. 'As such, the ringgit is expected to trend higher today, possibly around RM4.21 and RM4.22, owing to a weaker US dollar outlook,' he told Bernama. At the opening, the ringgit appreciated against a basket of major currencies, strengthening to 5.6943/7355 versus the British pound from Thursday's 5.7091/7205, and gaining against the euro at 4.7992/8339 compared to 4.7803/7899 previously. However, it weakened slightly against the Japanese yen to 2.9349/9563 from yesterday's close of 2.9188/9249. The local note also traded mostly higher against its ASEAN counterparts. It improved versus the Singapore dollar to 3.2789/3031 from 3.2853/2921 on Thursday, inched up against the Indonesian rupiah to 258.6/260.6 from 259.9/260.5, and advanced against the Philippine peso to 7.56/7.62 from 7.60/7.62. The ringgit, however, slid against the Thai baht to 12.9565/13.0590 from 12.9321/9647 previously. Related
Business Times
3 days ago
- Business
- Business Times
Gold touches over one-week low after US court blocks Trump's tariffs
[BENGALURU] Gold hit a more than one-week low on Thursday (May 29), as the US dollar rallied and risk sentiment improved after a US federal court blocked US President Donald Trump's 'Liberation Day' tariffs from going into effect. Spot gold was down 0.5 per cent at US$3,262.99 an ounce, as at 0057 GMT, its lowest since May 20. US gold futures dropped 1.1 per cent to US$3,259.50. A US trade court on Wednesday blocked Trump's tariffs from going into effect, ruling that the president overstepped his authority by imposing across-the-board duties on imports from nations that sell more to the United States than they buy. The White House quickly appealed the decision, and could take it all the way to the Supreme Court if needed, but in the meantime, it offered some hope that Trump might back away from the highest tariff levels he had threatened. The US dollar index jumped 0.5 per cent to a more than one-week high, making greenback-priced gold more expensive for other currency holders, while US Treasury yields also rose. Asian shares and Wall Street futures climbed in Asia on Thursday. US Federal Reserve officials at their May 6 to 7 meeting acknowledged possible 'difficult tradeoffs' ahead, with rising inflation and unemployment, and warned about growing recession risks, according to meeting minutes on Wednesday. Investors now await US GDP data later in the day, followed by Friday's Personal Consumption Expenditures numbers and comments from US central bank officials for more cues on interest rates. SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings rose 0.34 per cent to 925.61 metric tonnes on Wednesday from 922.46 tonnes on Tuesday. Elsewhere, spot silver eased 0.2 per cent to US$32.93 an ounce, platinum was steady at US$1,074.90 and palladium edged 0.3 per cent higher to US$964.75. REUTERS
Mint
3 days ago
- Business
- Mint
Gold steadies as easing US-EU trade tensions cap gains
US core PCE data due on Friday US consumer confidence improved in May (Updates for the Asia mid-day session) May 28 (Reuters) - Gold steadied on Wednesday, as investors bought on the dip, although gains were capped on easing U.S.-EU trade tensions, with the market now awaiting the upcoming U.S. core Personal Consumption Expenditures (PCE) report for interest rate clues. Spot gold was flat at $3,297.19 an ounce, as of 0413 GMT. Bullion fell more than 1% in the previous session. U.S. gold futures were down 0.1% to $3,296. In the latest move, U.S. President Donald Trump backed down from his 50% tariff threat against the European Union, delaying its implementation until July 9 to allow for negotiations between the White House and the 27-nation bloc. "Gold's dip below $3300 saw it attracting some buyers. However, the broader market is still feeling generally upbeat now that the U.S.-EU trade tensions have eased, which is capping the extent of gold's upside run for now," said Tim Waterer, chief market analyst at KCM Trade. "If support in the $3,250-$3,280 region continues to hold, then gold is well-placed for potentially another run towards $3,400 if risk appetite fades." The market is now awaiting U.S. PCE data for April, due Friday, to assess the Federal Reserve's potential rate cut trajectory. Meanwhile, U.S. consumer confidence rebounded in May, ending a five-month slide, supported by a temporary truce in the U.S.-China trade war, according to data. The Fed has kept its policy rate unchanged at 4.25%-4.50% since December, as officials pause for more clarity on the economic and price impact of Trump's tariffs. "More decisive moves in gold one way or the other may need to wait until we get a read on the Nvidia results and U.S. Core PCE on Friday," Waterer said. Spot silver was steady at $33.28 an ounce, platinum was unchanged at $1,079.72 and palladium fell 0.3% to $975.14. (Reporting by Anmol Choubey and Brijesh Patel in Bengaluru; Editing by Rashmi Aich and Sherry Jacob-Phillips)
