Latest news with #SimonDangoor
The Advertiser
8 hours ago
- Business
- The Advertiser
Wall Street edges higher ahead of Fed's rate verdict
Wall Street's main indexes have ticked up as investors awaited the Federal Reserve's monetary policy decision while the Israel-Iran attacks entered the sixth day. Investors will closely monitor Fed chair Jerome Powell's comments to gauge how he plans to combat the risk of rising prices, which remains a dominant concern for the central bank. The Fed is expected to leave rates unchanged at its meeting, scheduled later in the day. "We're still at the beginning stages of feeling that real income shock from higher tariffs in the United States, and the uncertainty effect builds up over time," said Simon Dangoor, head of fixed income macro strategies at Goldman Sachs Asset Management. "So I think the next couple of months of data is going to be really key about where we go from here." Ahead of the monetary policy decision, money market moves show traders are pricing in about 46 basis points of rate cuts by the end of 2025, with a 55 per cent chance of a 25-bps rate cut in September, according to CME Group's FedWatch tool. Following strong monthly equity trading in May, the benchmark S&P 500 index and the Nasdaq were close to record peaks before the ongoing conflict in the Middle East made investors risk averse. The S&P 500 index stood 2.5 per cent below its record level, and the tech-heavy Nasdaq remained 3.3 per cent lower. Investors have been anxious over the possibility of a more direct US military involvement in the Israel-Iran aerial war. A source familiar with internal discussions said US President Donald Trump and his team were considering a number of options, which included joining Israel in strikes against Iranian nuclear sites. In early trading on Wednesday, the Dow Jones Industrial Average rose 73.93 points, or 0.18 per cent, to 42,289.73, the S&P 500 gained 13.90 points, or 0.23 per cent, to 5,996.62 and the Nasdaq Composite gained 49.31 points, or 0.26 per cent, to 19,571.01. Ten of the 11 major S&P 500 sub-sectors rose. Energy and consumer discretionary stocks gained 0.6 per cent each while healthcare stocks declined 0.4 per cent. Tesla gained 1.8 per cent. Shares of networking and custom AI chipmaker Marvell Technology hit a three-month high and were last up 8.7 per cent. Shares of stablecoin issuer Circle Internet rose 6.2 per cent after the US Senate passed a bill to create a regulatory framework for dollar-pegged cryptocurrency tokens known as stablecoins. Scholar Rock rose 17.4 per cent after the drug maker said its experimental drug helped overweight patients preserve lean mass in a mid-stage trial when used in combination with Eli Lilly's weight-loss treatment. Steelmaker Nucor rose 4.9 per cent following a second-quarter profit forecast that came above analysts' estimates. Initial jobless claims data on Wednesday showed the number of people in the US filing new applications for unemployment benefits fell last week but stayed at levels consistent with a further loss of labour market momentum in June. Advancing issues outnumbered decliners by a 1.63-to-1 ratio on the NYSE and by a 1.3-to-1 ratio on the Nasdaq. The S&P 500 posted four new 52-week highs and six new lows while the Nasdaq Composite recorded 31 new highs and 53 new lows. Wall Street's main indexes have ticked up as investors awaited the Federal Reserve's monetary policy decision while the Israel-Iran attacks entered the sixth day. Investors will closely monitor Fed chair Jerome Powell's comments to gauge how he plans to combat the risk of rising prices, which remains a dominant concern for the central bank. The Fed is expected to leave rates unchanged at its meeting, scheduled later in the day. "We're still at the beginning stages of feeling that real income shock from higher tariffs in the United States, and the uncertainty effect builds up over time," said Simon Dangoor, head of fixed income macro strategies at Goldman Sachs Asset Management. "So I think the next couple of months of data is going to be really key about where we go from here." Ahead of the monetary policy decision, money market moves show traders are pricing in about 46 basis points of rate cuts by the end of 2025, with a 55 per cent chance of a 25-bps rate cut in September, according to CME Group's FedWatch tool. Following strong monthly equity trading in May, the benchmark S&P 500 index and the Nasdaq were close to record peaks before the ongoing conflict in the Middle East made investors risk averse. The S&P 500 index stood 2.5 per cent below its record level, and the tech-heavy Nasdaq remained 3.3 per cent lower. Investors have been anxious over the possibility of a more direct US military involvement in the Israel-Iran aerial war. A source familiar with internal discussions said US President Donald Trump and his team were considering a number of options, which included joining Israel in strikes against Iranian nuclear sites. In early trading on Wednesday, the Dow Jones Industrial Average rose 73.93 points, or 0.18 per cent, to 42,289.73, the S&P 500 gained 13.90 points, or 0.23 per cent, to 5,996.62 and the Nasdaq Composite gained 49.31 points, or 0.26 per cent, to 19,571.01. Ten of the 11 major S&P 500 sub-sectors rose. Energy and consumer discretionary stocks gained 0.6 per cent each while healthcare stocks declined 0.4 per cent. Tesla gained 1.8 per cent. Shares of networking and custom AI chipmaker Marvell Technology hit a three-month high and were last up 8.7 per cent. Shares of stablecoin issuer Circle Internet rose 6.2 per cent after the US Senate passed a bill to create a regulatory framework for dollar-pegged cryptocurrency tokens known as stablecoins. Scholar Rock rose 17.4 per cent after the drug maker said its experimental drug helped overweight patients preserve lean mass in a mid-stage trial when used in combination with Eli Lilly's weight-loss treatment. Steelmaker Nucor rose 4.9 per cent following a second-quarter profit forecast that came above analysts' estimates. Initial jobless claims data on Wednesday showed the number of people in the US filing new applications for unemployment benefits fell last week but stayed at levels consistent with a further loss of labour market momentum in June. Advancing issues outnumbered decliners by a 1.63-to-1 ratio on the NYSE and by a 1.3-to-1 ratio on the Nasdaq. The S&P 500 posted four new 52-week highs and six new lows while the Nasdaq Composite recorded 31 new highs and 53 new lows. Wall Street's main indexes have ticked up as investors awaited the Federal Reserve's monetary policy decision while the Israel-Iran attacks entered the sixth day. Investors will closely monitor Fed chair Jerome Powell's comments to gauge how he plans to combat the risk of rising prices, which remains a dominant concern for the central bank. The Fed is expected to leave rates unchanged at its meeting, scheduled later in the day. "We're still at the beginning stages of feeling that real income shock from higher tariffs in the United States, and the uncertainty effect builds up over time," said Simon Dangoor, head of fixed income macro strategies at Goldman Sachs Asset Management. "So I think the next couple of months of data is going to be really key about where we go from here." Ahead of the monetary policy decision, money market moves show traders are pricing in about 46 basis points of rate cuts by the end of 2025, with a 55 per cent chance of a 25-bps rate cut in September, according to CME Group's FedWatch tool. Following strong monthly equity trading in May, the benchmark S&P 500 index and the Nasdaq were close to record peaks before the ongoing conflict in the Middle East made investors risk averse. The S&P 500 index stood 2.5 per cent below its record level, and the tech-heavy Nasdaq remained 3.3 per cent lower. Investors have been anxious over the possibility of a more direct US military involvement in the Israel-Iran aerial war. A source familiar with internal discussions said US President Donald Trump and his team were considering a number of options, which included joining Israel in strikes against Iranian nuclear sites. In early trading on Wednesday, the Dow Jones Industrial Average rose 73.93 points, or 0.18 per cent, to 42,289.73, the S&P 500 gained 13.90 points, or 0.23 per cent, to 5,996.62 and the Nasdaq Composite gained 49.31 points, or 0.26 per cent, to 19,571.01. Ten of the 11 major S&P 500 sub-sectors rose. Energy and consumer discretionary stocks gained 0.6 per cent each while healthcare stocks declined 0.4 per cent. Tesla gained 1.8 per cent. Shares of networking and custom AI chipmaker Marvell Technology hit a three-month high and were last up 8.7 per cent. Shares of stablecoin issuer Circle Internet rose 6.2 per cent after the US Senate passed a bill to create a regulatory framework for dollar-pegged cryptocurrency tokens known as stablecoins. Scholar Rock rose 17.4 per cent after the drug maker said its experimental drug helped overweight patients preserve lean mass in a mid-stage trial when used in combination with Eli Lilly's weight-loss treatment. Steelmaker Nucor rose 4.9 per cent following a second-quarter profit forecast that came above analysts' estimates. Initial jobless claims data on Wednesday showed the number of people in the US filing new applications for unemployment benefits fell last week but stayed at levels consistent with a further loss of labour market momentum in June. Advancing issues outnumbered decliners by a 1.63-to-1 ratio on the NYSE and by a 1.3-to-1 ratio on the Nasdaq. The S&P 500 posted four new 52-week highs and six new lows while the Nasdaq Composite recorded 31 new highs and 53 new lows. Wall Street's main indexes have ticked up as investors awaited the Federal Reserve's monetary policy decision while the Israel-Iran attacks entered the sixth day. Investors will closely monitor Fed chair Jerome Powell's comments to gauge how he plans to combat the risk of rising prices, which remains a dominant concern for the central bank. The Fed is expected to leave rates unchanged at its meeting, scheduled later in the day. "We're still at the beginning stages of feeling that real income shock from higher tariffs in the United States, and the uncertainty effect builds up over time," said Simon Dangoor, head of fixed income macro strategies at Goldman Sachs Asset Management. "So I think the next couple of months of data is going to be really key about where we go from here." Ahead of the monetary policy decision, money market moves show traders are pricing in about 46 basis points of rate cuts by the end of 2025, with a 55 per cent chance of a 25-bps rate cut in September, according to CME Group's FedWatch tool. Following strong monthly equity trading in May, the benchmark S&P 500 index and the Nasdaq were close to record peaks before the ongoing conflict in the Middle East made investors risk averse. The S&P 500 index stood 2.5 per cent below its record level, and the tech-heavy Nasdaq remained 3.3 per cent lower. Investors have been anxious over the possibility of a more direct US military involvement in the Israel-Iran aerial war. A source familiar with internal discussions said US President Donald Trump and his team were considering a number of options, which included joining Israel in strikes against Iranian nuclear sites. In early trading on Wednesday, the Dow Jones Industrial Average rose 73.93 points, or 0.18 per cent, to 42,289.73, the S&P 500 gained 13.90 points, or 0.23 per cent, to 5,996.62 and the Nasdaq Composite gained 49.31 points, or 0.26 per cent, to 19,571.01. Ten of the 11 major S&P 500 sub-sectors rose. Energy and consumer discretionary stocks gained 0.6 per cent each while healthcare stocks declined 0.4 per cent. Tesla gained 1.8 per cent. Shares of networking and custom AI chipmaker Marvell Technology hit a three-month high and were last up 8.7 per cent. Shares of stablecoin issuer Circle Internet rose 6.2 per cent after the US Senate passed a bill to create a regulatory framework for dollar-pegged cryptocurrency tokens known as stablecoins. Scholar Rock rose 17.4 per cent after the drug maker said its experimental drug helped overweight patients preserve lean mass in a mid-stage trial when used in combination with Eli Lilly's weight-loss treatment. Steelmaker Nucor rose 4.9 per cent following a second-quarter profit forecast that came above analysts' estimates. Initial jobless claims data on Wednesday showed the number of people in the US filing new applications for unemployment benefits fell last week but stayed at levels consistent with a further loss of labour market momentum in June. Advancing issues outnumbered decliners by a 1.63-to-1 ratio on the NYSE and by a 1.3-to-1 ratio on the Nasdaq. The S&P 500 posted four new 52-week highs and six new lows while the Nasdaq Composite recorded 31 new highs and 53 new lows.
West Australian
8 hours ago
- Business
- West Australian
Wall Street edges higher ahead of Fed's rate verdict
Wall Street's main indexes have ticked up as investors awaited the Federal Reserve's monetary policy decision while the Israel-Iran attacks entered the sixth day. Investors will closely monitor Fed chair Jerome Powell's comments to gauge how he plans to combat the risk of rising prices, which remains a dominant concern for the central bank. The Fed is expected to leave rates unchanged at its meeting, scheduled later in the day. "We're still at the beginning stages of feeling that real income shock from higher tariffs in the United States, and the uncertainty effect builds up over time," said Simon Dangoor, head of fixed income macro strategies at Goldman Sachs Asset Management. "So I think the next couple of months of data is going to be really key about where we go from here." Ahead of the monetary policy decision, money market moves show traders are pricing in about 46 basis points of rate cuts by the end of 2025, with a 55 per cent chance of a 25-bps rate cut in September, according to CME Group's FedWatch tool. Following strong monthly equity trading in May, the benchmark S&P 500 index and the Nasdaq were close to record peaks before the ongoing conflict in the Middle East made investors risk averse. The S&P 500 index stood 2.5 per cent below its record level, and the tech-heavy Nasdaq remained 3.3 per cent lower. Investors have been anxious over the possibility of a more direct US military involvement in the Israel-Iran aerial war. A source familiar with internal discussions said US President Donald Trump and his team were considering a number of options, which included joining Israel in strikes against Iranian nuclear sites. In early trading on Wednesday, the Dow Jones Industrial Average rose 73.93 points, or 0.18 per cent, to 42,289.73, the S&P 500 gained 13.90 points, or 0.23 per cent, to 5,996.62 and the Nasdaq Composite gained 49.31 points, or 0.26 per cent, to 19,571.01. Ten of the 11 major S&P 500 sub-sectors rose. Energy and consumer discretionary stocks gained 0.6 per cent each while healthcare stocks declined 0.4 per cent. Tesla gained 1.8 per cent. Shares of networking and custom AI chipmaker Marvell Technology hit a three-month high and were last up 8.7 per cent. Shares of stablecoin issuer Circle Internet rose 6.2 per cent after the US Senate passed a bill to create a regulatory framework for dollar-pegged cryptocurrency tokens known as stablecoins. Scholar Rock rose 17.4 per cent after the drug maker said its experimental drug helped overweight patients preserve lean mass in a mid-stage trial when used in combination with Eli Lilly's weight-loss treatment. Steelmaker Nucor rose 4.9 per cent following a second-quarter profit forecast that came above analysts' estimates. Initial jobless claims data on Wednesday showed the number of people in the US filing new applications for unemployment benefits fell last week but stayed at levels consistent with a further loss of labour market momentum in June. Advancing issues outnumbered decliners by a 1.63-to-1 ratio on the NYSE and by a 1.3-to-1 ratio on the Nasdaq. The S&P 500 posted four new 52-week highs and six new lows while the Nasdaq Composite recorded 31 new highs and 53 new lows.
Perth Now
8 hours ago
- Business
- Perth Now
Wall Street edges higher ahead of Fed's rate verdict
Wall Street's main indexes have ticked up as investors awaited the Federal Reserve's monetary policy decision while the Israel-Iran attacks entered the sixth day. Investors will closely monitor Fed chair Jerome Powell's comments to gauge how he plans to combat the risk of rising prices, which remains a dominant concern for the central bank. The Fed is expected to leave rates unchanged at its meeting, scheduled later in the day. "We're still at the beginning stages of feeling that real income shock from higher tariffs in the United States, and the uncertainty effect builds up over time," said Simon Dangoor, head of fixed income macro strategies at Goldman Sachs Asset Management. "So I think the next couple of months of data is going to be really key about where we go from here." Ahead of the monetary policy decision, money market moves show traders are pricing in about 46 basis points of rate cuts by the end of 2025, with a 55 per cent chance of a 25-bps rate cut in September, according to CME Group's FedWatch tool. Following strong monthly equity trading in May, the benchmark S&P 500 index and the Nasdaq were close to record peaks before the ongoing conflict in the Middle East made investors risk averse. The S&P 500 index stood 2.5 per cent below its record level, and the tech-heavy Nasdaq remained 3.3 per cent lower. Investors have been anxious over the possibility of a more direct US military involvement in the Israel-Iran aerial war. A source familiar with internal discussions said US President Donald Trump and his team were considering a number of options, which included joining Israel in strikes against Iranian nuclear sites. In early trading on Wednesday, the Dow Jones Industrial Average rose 73.93 points, or 0.18 per cent, to 42,289.73, the S&P 500 gained 13.90 points, or 0.23 per cent, to 5,996.62 and the Nasdaq Composite gained 49.31 points, or 0.26 per cent, to 19,571.01. Ten of the 11 major S&P 500 sub-sectors rose. Energy and consumer discretionary stocks gained 0.6 per cent each while healthcare stocks declined 0.4 per cent. Tesla gained 1.8 per cent. Shares of networking and custom AI chipmaker Marvell Technology hit a three-month high and were last up 8.7 per cent. Shares of stablecoin issuer Circle Internet rose 6.2 per cent after the US Senate passed a bill to create a regulatory framework for dollar-pegged cryptocurrency tokens known as stablecoins. Scholar Rock rose 17.4 per cent after the drug maker said its experimental drug helped overweight patients preserve lean mass in a mid-stage trial when used in combination with Eli Lilly's weight-loss treatment. Steelmaker Nucor rose 4.9 per cent following a second-quarter profit forecast that came above analysts' estimates. Initial jobless claims data on Wednesday showed the number of people in the US filing new applications for unemployment benefits fell last week but stayed at levels consistent with a further loss of labour market momentum in June. Advancing issues outnumbered decliners by a 1.63-to-1 ratio on the NYSE and by a 1.3-to-1 ratio on the Nasdaq. The S&P 500 posted four new 52-week highs and six new lows while the Nasdaq Composite recorded 31 new highs and 53 new lows.
Business Recorder
10 hours ago
- Business
- Business Recorder
Wall Street edged higher ahead of Fed's interest rate verdict
Wall Street's main indexes ticked up on Wednesday, as investors awaited the Federal Reserve's monetary policy decision, while the Israel-Iran attacks entered the sixth day. Investors will closely monitor Fed Chair Jerome Powell's comments to gauge how he plans to combat the risk of rising prices, which remains a dominant concern for the central bank. The Fed is expected to leave rates unchanged at its meeting, scheduled later in the day. 'We're still at the beginning stages of feeling that real income shock from higher tariffs in the United States, and the uncertainty effect builds up over time,' said Simon Dangoor, head of fixed income macro strategies at Goldman Sachs Asset Management. 'So I think the next couple of months of data is going to be really key about where we go from here.' Ahead of the monetary policy decision, money market moves show traders are pricing in about 46 basis points of rate cuts by the end of 2025, with a 55% chance of a 25-bps rate cut in September, according to CME Group's FedWatch tool. Wall St climbs as oil prices ease, Fed meeting in focus Following strong monthly equity trading in May, the benchmark S&P 500 index and the Nasdaq were close to record peaks before the ongoing conflict in the Middle East made investors risk averse. The S&P 500 index stood 2.5% below its record level, and the tech-heavy Nasdaq remained 3.3% lower. Investors have been anxious over the possibility of a more direct U.S. military involvement in the Israel-Iran aerial war. A source familiar with internal discussions said U.S. President Donald Trump and his team were considering a number of options, which included joining Israel in strikes against Iranian nuclear sites. At 09:52 a.m. ET, the Dow Jones Industrial Average rose 73.93 points, or 0.18%, to 42,289.73, the S&P 500 gained 13.90 points, or 0.23%, to 5,996.62 and the Nasdaq Composite gained 49.31 points, or 0.26%, to 19,571.01. Ten of the 11 major S&P 500 sub-sectors rose. Energy and consumer discretionary stocks gained 0.6% each, while healthcare stocks declined 0.4%. Tesla gained 1.8%. Shares of networking and custom AI chipmaker Marvell Technology hit a three-month high and were last up 8.7%. Shares of stablecoin issuer Circle Internet rose 6.2% after the U.S. Senate passed a bill to create a regulatory framework for dollar-pegged cryptocurrency tokens known as stablecoins. Scholar Rock rose 17.4% after the drugmaker said its experimental drug helped overweight patients preserve lean mass in a mid-stage trial when used in combination with Eli Lilly's weight-loss treatment. Steelmaker Nucor rose 4.9% following a second-quarter profit forecast that came above analysts' estimates. Initial jobless claims data on Wednesday showed the number of Americans filing new applications for unemployment benefits fell last week, but stayed at levels consistent with a further loss of labor market momentum in June. Advancing issues outnumbered decliners by a 1.63-to-1 ratio on the NYSE and by a 1.3-to-1 ratio on the Nasdaq. The S&P 500 posted four new 52-week highs and six new lows, while the Nasdaq Composite recorded 31 new highs and 53 new lows.
Reuters
05-06-2025
- Business
- Reuters
Instant view: ECB delivers another rate cut
LONDON, June 5 (Reuters) - The European Central Bank cut interest rates for the eighth time in a year on Thursday, acknowledging inflation was under control and turning more pessimistic about economic prospects amid risks of a trade war with the United States. The ECB's key rate was lowered from 2.25% to 2.0%, the middle of the range that the central bank sees as "neutral" - neither curbing nor boosting the economy. Market focus turned to the post-meeting news conference as traders try to assess whether the ECB will pause in July before cutting rates again by year-end. The euro was little changed around $1.1426 , while government bond yields dipped. Germany's 2-year bond yield was last down 2 basis points (basis points) to 1.77% . The STOXX 600 index (.STOXX), opens new tab was last 0.3%, while banking stocks (.SX7P), opens new tab trimmed earlier falls. COMMENTS: SIMON DANGOOR, HEAD OF FIXED INCOME MACRO STRATEGIES, GOLDMAN SACHS ASSET MANAGEMENT: 'In line with expectations, the ECB cut rates by 0.25% to bring the deposit rate to 2.0%. As trade uncertainty continues to pose risk to euro area economic growth and underlying disinflation is likely to remain persistent, we expect two more rate cuts, potentially bringing the rate down to 1.5% this year. We are keeping a close watch on fiscal developments and pension fund flows, which could open opportunities for Fixed Income investors.' FRANCESCO PESOLE, FX STRATEGIST, ING: "So far, a moderately dovish undertone, as inflation projections were revised lower by 0.3pp for both 2025 and 2026. This places the 2026 inflation forecast well below target at 1.6%. Partly offsetting the dovish signal is the lack of core inflation downward revisions. The euro would have probably weakened in other circumstances, but the lower-than-expected inflation data earlier this week had set the mood quite dovish." IRENE LAURO, EUROZONE ECONOMIST, SCHRODERS: "While the ECB delivered a widely expected rate cut today, we would not count on a follow-up next month. Inflation was lower than expected in May, with services inflation falling sharply. Yet, with no signs trade tariffs are weakening growth, we expect the ECB is likely to pause from today. Labour markets remain tight, domestic demand is gaining traction, lending is picking up, and fiscal tailwinds are building." "With rates now at the midpoint of their estimated neutral range, the bar for further cuts has risen. Having already eased by 1.75% in this cycle, the ECB can afford to shift from urgency to patience." MARCHEL ALEXANDROVICH, ECONOMIST, SALTMARSH ECONOMICS: "The ECB delivers another 25-bp cut, and nudges rates to the middle of its 1.5% to 2.5% neutral range. Alongside, the updated quarterly economic forecasts show a slightly weaker GDP growth profile and lower headline inflation in 2025 and 2026." "In light of these projections, the Governing Council should be in a position to cut rates again at the next meeting on 24 July. Although, of course, its response will partly depend on what happens after Trump's 90-day tariffs pause comes to an end in early July." NATASHA MAY, GLOBAL MARKET ANALYST, J.P. MORGAN ASSET MANAGEMENT: "Huge uncertainty about the future of global trade might make the ECB's ever-more data dependent approach look prudent. Today, the Governing Council stuck to its usual script, with a 25-bps rate cut accompanied by little to no guidance about the future policy path. But in our view, this strategy pays too little attention to the downside risks to inflation." "Trade tensions look set to weigh more on euro zone activity – and therefore medium-term inflation – than they will directly boost prices. With inflationary pressures receding fast and growth headwinds picking up, the ECB is underestimating the risk of undershooting its target. While some Governing Council members are advocating for a July pause, the case for another rate cut is crystal-clear." HUSSAIN MEHDI, DIRECTOR, INVESTMENT STRATEGY, HSBC ASSET MANAGEMENT: "The ECB looks to be in an enviable position. Underlying inflation is back at pre-Russia/Ukraine levels and disinflation looks set to continue amid a stronger euro and lower oil and gas prices. Tariffs may also help keep prices in check, given they weigh on demand, and could result in more Chinese goods being diverted from the U.S. to Europe." "Market pricing now shows a big gap between ECB and Fed rate cut expectations for 2025. Put simply, the Fed remains hamstrung by inflation amid the supply shock that is higher tariffs, and the impact of a weaker dollar. We think this keeps U.S. yields sticky, and the U.S. sto ack market volatile." "European assets, on the other hand, look to benefit from a proactive ECB, just as Germany is unleashing a once-in-a-generation shift in its fiscal policy stance that we believe is likely to boost structural growth. We think these 'policy puts' can provide a powerful catalyst to unlock value in many European stock markets on a longer-term basis. German Bunds also look like an attractive option for multi-asset investors looking to protect their portfolios against downside risks, just as the safe-haven attributes of U.S. Treasuries are increasingly under question." DAVID ZAHN, HEAD OF EUROPEAN FIXED INCOME, FRANKLIN TEMPLETON: "The ECB cut rates by 25 bps to 2%, as inflation eased to 1.9%, below target for the first time in over a year. Slowing price pressures and softer growth supported the move, though the policy stance remains cautious. A pause over summer is very likely as the ECB assesses trade risks and domestic resilience. Longer-term, fiscal rebalancing and external headwinds will shape the policy outlook to a more neutral policy stance.'
