Latest news with #U.S.LaborDepartment
International Business Times
3 days ago
- Business
- International Business Times
Gold Prices Rebound as Soft Jobs Data Fuels Rate Cut Expectations
Gold prices shot up Thursday on weaker-than-expected U.S. jobless claims data and a key court ruling that struck down most of former President Donald Trump's proposed tariffs. These events have driven an increase in investor demand for gold as a safe-haven asset. Spot gold gained 0.9% to $3,319.22 an ounce by 09:37 ET (13:37 GMT), bouncing from session lows. Gold futures in the United States were flat at $3,294.60. The U.S. Labor Department said in its weekly report that initial jobless claims rose by 14,000 to a seasonally adjusted 240,000 for the week ending May 24, topping economists' forecast of 230,000. The increase indicates a potential weakening in the labor market — a factor that may impact the monetary policy plans of the Federal Reserve. "Gold is rallying on a jump in weekly initial jobless claims, which may be an early sign of a softening labor market and the market starting to price in rate cuts more rapidly by the Federal Reserve," said Tai Wong, an independent metals trader. In a parallel ruling, the U.S. Court of International Trade decided that former President Donald J. Trump had overstepped his authority when he imposed widespread tariffs under the International Emergency Economic Powers Act of 1977. However, the tariffs on auto, steel, and aluminum imports—based on Section 232 of the Trade Expansion Act of 1962—remain in place. The Trump administration said it would appeal the decision, and the case could eventually reach the Supreme Court. Analysts said while the ruling introduced new uncertainty, it wasn't fundamentally likely to change the overall trading relationship with the important partners. Investors are also looking forward to the U.S. Personal Consumption Expenditures (PCE) data, due Friday, that might offer more clues about which way inflation trends are headed and what it might mean for the Federal Reserve policy. Other precious metals also gained: silver added 0.9% to trade at $33.28 an ounce, platinum climbed 1% to $1,085.59, and palladium gained 0.6% to $968.43.
Miami Herald
4 days ago
- Business
- Miami Herald
Trump withdraws Biden-era policy on warning against cryptocurrency 401(k) retirement investing
May 28 (UPI) -- The Trump administration on Wednesday revoked Biden-era guidance on cryptocurrency-related 401 (k) plans and other digital assets. President Donald Trump's U.S. Labor Department withdrew full guidance put in place in 2022 by then-President Joe Biden's administration. It advised American companies to exercise "extreme care" prior to allowing crypto-related retirement investments as an option for employees. It cited "serious concern" over the level of negative exposure for investors given reports of "significant risks of fraud, theft and loss" and with crpyto linked to ISIS and other acts of international terrorism. Now, the department says it's "neither endorsing, nor disapproving of" employers who opt to add cryptocurrency to a list of 401 (k) investments, adding that Trump's policy change will extend to a "wide range" of other digital assets such as tokens, coins, crypto assets "and any derivatives thereof." On Wednesday, U.S. Labor Secretary Lori Chavez-DeRemer said the Biden White House attempted to "put their thumb on the scale" to discourage crypto investing. Trump's Labor Department said in a compliance assistance bulletin that prior to Biden's 2022 guidance, the department had "usually articulated a neutral approach to particular investment types and strategies." "We're making it clear that investment decisions should be made by fiduciaries, not DC bureaucrats," the secretary posted to social media. It said a standard of "extreme care" cited by Biden's Labor Department was reportedly "not found" in the Employee Retirement Income Security Act, or ERISA, which gives a fiduciary duty to employers that oversee 401(k) investments. "In reality, it's saying we should treat crypto like any other asset," Philip Chao, a certified financial planner and retirement investment consultant, told CNBC. The shift arrived as the White House has exuberantly embraced the crypto industry while the president's crypto wealth has ballooned on paper through his own meme coin and as his two eldest sons pursue other crypto-related business ventures amid calls for ethics investigations. Last month, the U.S. Department of Justice ended its National Cryptocurrency Enforcement Team and redirected focus away from targeting crypto fraud. Deputy Attorney General Todd Blanche said DOJ will "no longer pursue litigation or enforcement actions that have the effect of superimposing regulatory frameworks on digital assets" as Trump allegedly has "actual regulators do this work outside the punitive criminal justice framework." On Tuesday, Trump's Truth Social platform announced its plans to establish a $2.5 billion "bitcoin Treasury." Meanwhile, Vice President JD Vance was scheduled Wednesday to deliver a keynote address at a bitcoin conference in Las Vegas. Chao, founder of Experiential Wealth in Cabin John, Md., says crypto is "such a new thing and there's no regulation or protection, even a reasonable understanding of it." "And there still isn't enough," Chao stated. Copyright 2025 UPI News Corporation. All Rights Reserved.
UPI
4 days ago
- Business
- UPI
Trump withdraws Biden-era policy on warning against cryptocurrency 401(k) retirement investing
1 of 2 | The policy shift arrived as U.S. President Donald Trump (seen March 7 at a Digital Assets (Crypto) Summit at the White House in Washington, D.C.) has enthusiastically embraced the crypto world while the Trump's crypto wealth has ballooned on paper through his own meme coin and as his two eldest sons pursue other crypto-related business ventures amid calls for Ethics Investigations. File Photo by Chris Kleponis/UPI | License Photo May 28 (UPI) -- The Trump administration on Wednesday revoked Biden-era guidance on cryptocurrency-related 401 (k) plans and other digital assets. President Donald Trump's U.S. Labor Department withdrew full guidance put in place in 2022 by then-President Joe Biden's administration. It advised American companies to exercise "extreme care" prior to allowing crypto-related retirement investments as an option for employees. It cited "serious concern" over the level of negative exposure for investors given reports of "significant risks of fraud, theft and loss" and with crpyto linked to ISIS and other acts of international terrorism. Now, the department says it's "neither endorsing, nor disapproving of" employers who opt to add cryptocurrency to a list of 401 (k) investments, adding that Trump's policy change will extend to a "wide range" of other digital assets such as tokens, coins, crypto assets "and any derivatives thereof." On Wednesday, U.S. Labor Secretary Lori Chavez-DeRemer said the Biden White House attempted to "put their thumb on the scale" to discourage crypto investing. Trump's Labor Department said in a compliance assistance bulletin that prior to Biden's 2022 guidance, the department had "usually articulated a neutral approach to particular investment types and strategies." "We're making it clear that investment decisions should be made by fiduciaries, not DC bureaucrats," the secretary posted to social media. It said a standard of "extreme care" cited by Biden's Labor Department was reportedly "not found" in the Employee Retirement Income Security Act, or ERISA, which gives a fiduciary duty to employers that oversee 401(k) investments. "In reality, it's saying we should treat crypto like any other asset," Philip Chao, a certified financial planner and retirement investment consultant, told CNBC. The shift arrived as the White House has exuberantly embraced the crypto industry while the president's crypto wealth has ballooned on paper through his own meme coin and as his two eldest sons pursue other crypto-related business ventures amid calls for ethics investigations. Last month, the U.S. Department of Justice ended its National Cryptocurrency Enforcement Team and redirected focus away from targeting crypto fraud. Deputy Attorney General Todd Blanche said DOJ will "no longer pursue litigation or enforcement actions that have the effect of superimposing regulatory frameworks on digital assets" as Trump allegedly has "actual regulators do this work outside the punitive criminal justice framework." On Tuesday, Trump's Truth Social platform announced its plans to establish a $2.5 billion "bitcoin Treasury." Meanwhile, Vice President JD Vance was scheduled Wednesday to deliver a keynote address at a bitcoin conference in Las Vegas. Chao, founder of Experiential Wealth in Cabin John, Md., says crypto is "such a new thing and there's no regulation or protection, even a reasonable understanding of it." "And there still isn't enough," Chao stated.
Egypt Today
18-05-2025
- Business
- Egypt Today
Egyptian pound strengthens against USD during weekend
Cairo – May 18, 2025: Last week, the LE strengthened significantly against the USD, supported by a wave of foreign currency inflows. The U.S. dollar's recent global decline—triggered by new economic data—has coincided with a notable rebound in the Egyptian pound. These gains have been fueled by increased remittances from Egyptians working abroad, a strong uptick in tourism revenue, and a renewed interest from investors in Egypt's local debt instruments. On Saturday, the exchange rate for the USD fell to approximately LE 50.08 for buying, with selling prices ranging between LE 50.18 and LE 50.22 across most local banks. Confidence in Egypt's financial outlook was further reinforced by a strong return of foreign investments into domestic debt markets. Over the past week, local debt instruments attracted approximately USD 1.1 billion in inflows, largely from Arab investors. In a recent auction by the Ministry of Finance valued at LE 80 billion, foreign institutions submitted bids totaling LE 204 billion. The ministry accepted LE 111.5 billion, reflecting robust demand and growing investor confidence in Egypt's macroeconomic stability. The upward movement of the LE was amplified by recent global pressure on the USD. On Thursday, the greenback retreated after U.S. economic data signaled a cooling in consumer activity. Retail spending in April slowed amid growing uncertainty about the U.S. economic outlook, raising concerns about the strength of domestic demand. In a separate report, the U.S. Labor Department announced that the Producer Price Index (PPI) for final demand fell by 0.5 percent in April, following an upwardly revised flat reading in March. The decline was largely attributed to weakened demand for air travel and hotel accommodations. Analysts have linked the drop in tourism to former President Donald Trump's polarizing policy agenda, which included trade protectionism, a crackdown on immigration, controversial remarks likening Canada to a "51st state," and an expressed interest in acquiring Greenland—all of which have dampened international tourism to the U.S. Earlier in the week, the USD had surged more than 1 percent following a temporary trade truce between the U.S. and China, which involved a 90-day pause on most tariffs. However, the boost proved temporary as softer economic data and geopolitical unease weighed on the currency.
15-05-2025
- Business
US wholesale prices dropped 0.5% last month despite President Trump's tariffs
WASHINGTON -- U.S. wholesale prices dropped unexpectedly in April for the first time in more than a year despite President Donald Trump's sweeping taxes on imports. The producer price index — which tracks inflation before it hits consumers — fell 0.5% last month from March and rose 2.4% from April 2024, the U.S. Labor Department reported Thursday. Excluding volatile food and energy prices, so-called core wholesale prices dipped 0.4% from March and rose 3.1% from a year earlier. Economists had expected that producer prices rose modestly in April. A 0.7% drop in services prices brought the index down. On Tuesday, the Labor Department reported that consumer prices rose just 2.3% last month from April 2024 — smallest year-over-year gain in more than four years. Economists have predicted that Trump's tariffs would drive up prices, and many expect the impact to show up in June or July. Still, Trump's tariffs are ever-changing, so it's hard to forecast their economic impact. On Monday, for instance, Trump unexpectedly agreed to a massive de-escalation of his trade war with China — third-biggest source of U.S. imports — by scaling back his taxes on Chinese products to 30% from 145%; China slashed its retaliatory tariffs on U.S. products from 125% to 10%.
