Tag Archives: Trading News

Wages in the Eurozone Rise at the Fastest Pace Since 2002

Wages in the Eurozone Rise at the Fastest Pace Since 2002, Raising Concerns for ECB Plans

Since adopting the single currency in 2002, the Eurozone has witnessed an unprecedented surge in wages,
raising questions about the European Central Bank’s (ECB) ability to implement its plans to cut interest rates
amid expectations of renewed inflationary pressures.

 

Content

 

 

 

 

 

The Eurozone

According to a report released on Wednesday by the European Central Bank,
negotiated wages rose by 5.4% year-on-year in the third quarter, compared to a 3.5% increase in the second quarter.
This acceleration in wage growth is among the highest levels seen in the region in years.

However, the ECB expects wage growth to decelerate sharply in 2025 and 2026,
which could help bring inflation back to its sustainable target of 2%.

In Germany, Europe’s largest economy, wages surged by 8.8% year-on-year in the three months ending in September,
marking the fastest growth rate since 1993.
This trend reflects increasing pressures that could affect price stability,
presenting additional challenges for the ECB in achieving its goals.

 

 

 

 

 

 

 

Japan

Japanese Imports See Slight Increase as Trade Deficit Widens in October

Japanese exports rebounded in October,
driven by rising demand from China for chip-making equipment
amid concerns about potential higher tariffs imposed by U.S. President-elect Donald Trump.

Data released by Japan’s Ministry of Finance on Wednesday showed that exports rose 3.1% year-on-year in October,
following a 1.7% decline in September. This exceeded market expectations of 2.2% growth.

The increase was supported by a 1.5% rise in exports to China due to strong demand for chip-making equipment.
However, exports to the United States—Japan’s largest trading partner—declined by 6.2%.

The data also showed a 0.4% rise in Japanese imports during October, slightly above the forecasted growth of 0.3%.
The trade deficit widened to ¥461.2 billion ($2.98 billion),
compared to ¥294.1 billion in September, driven by increased import volume.

It is worth noting that Japanese exports in September hit their lowest level in 43 months
but were bolstered in October by a 35.4% year-on-year increase in shipments to Middle Eastern countries.

 

 

Wages in the Eurozone Rise at the Fastest Pace Since 2002

Gold Extends Gains Amid Rising Geopolitical Tensions in Europe

Gold Extends Gains Amid Rising Geopolitical Tensions in Europe

Gold prices continued to rise on Tuesday, supported by escalating geopolitical tensions in Europe,
despite diminished expectations for a Federal Reserve interest rate cut at its next meeting.

 

Contents

  • Gold
  • Japan
  • Artificial Intelligence

 

 

 

 

 

 

Gold

Gold futures for December delivery increased by 0.31% ($8.1), reaching $2,622.7 per ounce,
after gaining 1.75% in the previous session, marking the highest level since November 11.

Spot gold also rose by 0.27% to $2,618.96 per ounce,
while silver futures for December delivery gained 0.31% to $31.32 per ounce.
Platinum spot prices remained steady at $968.15 per ounce.

These movements came amid reports suggesting the Biden administration has allowed Ukraine to use
U.S.-made weapons for strikes deep inside Russian territory, raising concerns over potential military escalation in Europe.

 

 

 

 

 

Japan

Japanese Stocks Rise Amid Rate Hike Speculations and Monetary Policy Adjustments

Japanese stocks closed higher on Tuesday, driven by expectations that the Bank of Japan may raise interest rates
in December following the yen’s weakness.

The Nikkei index gained 0.51% to reach 38,414 points, while the Topix index climbed 0.68% to 2,710 points.

The Bank of Japan announced it would conduct a comprehensive review of its monetary easing tools
next month to assess their effectiveness over the past 25 years, without directly altering current policies.

Market expectations for a 25-basis-point rate hike rose to 54%, with the yen stabilizing at 154.64 against the dollar.
The banking sector also saw significant gains, with Tokyo Bank shares surging 13% over the past two weeks.

 

 

 

Artificial Intelligence

IBM and AMD Collaborate to Enhance AI Performance and Offer Innovative Enterprise Solutions

IBM has announced a partnership with AMD to improve the performance and
energy efficiency of generative AI models for enterprise clients.
According to a statement from IBM on Monday, AMD Instinct MI300X accelerators will be integrated into
IBM Cloud services starting in the first half of 2025.

The collaboration will also provide support for AMD Instinct MI300X accelerators within IBM’s Watsonx AI platform and data center.

AMD CEO Philip Guido emphasized that as businesses continue integrating AI models and databases into their operations, they require accelerators capable of handling intensive computational workloads with high performance and scalability.

 

 

 

Gold Extends Gains Amid Rising Geopolitical Tensions in Europe

Bank of Japan Governor

Bank of Japan Governor

Rate Hikes Depend on Strong Economic Expectations, Positive Developments in Wages and Inflation

In statements made on Monday morning, Bank of Japan (BoJ) Governor Kazuo Ueda emphasized
that the Japanese economy is showing signs of moderate recovery despite some signs of weakness in specific sectors.
Ueda stressed that the central bank will gradually raise interest rates once strong economic expectations are met,
focusing on supporting sustainable growth and moderate inflation.

 

Content

 

 

 

 

Details

Ueda clarified that the BoJ is carefully monitoring various risks that may affect economic expectations,
including developments in the U.S. economy.
He noted that rising spending is gradually supporting a positive cycle between wages and inflation,
with income levels increasing in both corporate and household sectors.

 

Ueda highlighted the importance of observing upcoming wage negotiations,
pointing out that sustainable wage increases will play a crucial role in achieving the bank’s inflation targets.
He also urged companies to pass on higher labor costs by raising prices for goods and services,
stating that such measures are essential for boosting productivity and achieving sustainable increases in real wages.

 

The governor discussed challenges facing the Japanese economy,
including slowing growth in China and developments in U.S. economic policy under President-elect Donald Trump.
He underscored the importance of monitoring volatile markets and their impact on Japan’s economy and domestic prices.

 

Ueda stated that core inflation is expected to rise moderately, with increasing prospects for a soft economic landing.
However, he reiterated the BoJ’s commitment to supporting economic activity
while gradually easing its accommodative monetary policies when conditions allow.

These statements come at a time when expectations for gradual rate hikes in Japan are growing,
amid rising inflationary pressures and anticipated wage increases.
With a focus on sustainable economic growth,
the BoJ aims to achieve internal economic stability while taking into account major global shifts.

 

 

 

Bank of Japan Governor

 

The European Union Imposes a Record Fine of $846 Million

The European Union Imposes a Record Fine of $846 Million on Meta for Antitrust Violations

The European Commission has imposed a fine of €797.72 million (approximately $840.24 million) on Meta Platforms,
the parent company of Facebook, for violating the EU’s antitrust rules.

 

Topic

Meta

G7

USA

 

 

 

 

 

Meta:

The violations involve linking its online classified ads service, Facebook Marketplace,
to its social network and imposing unfair trading terms on other online classified ad providers.

In response, Meta announced its intention to appeal the decision while affirming its commitment to compliance and working swiftly and constructively to resolve the disputed points with the European Commission.

On the trading front, Meta’s stock dropped by 2.43%, equivalent to about $14.02, trading near $563.14 during US stock market transactions.

This fine is part of the EU’s broader efforts to combat monopolistic practices and ensure fair competition in the online classified ads market.

 

 

 

G7:

Continued Sanctions on Russia and Support for Ukraine Until Peace is Achieved

Leaders of the G7 nations reaffirmed their commitment to imposing strict sanctions on Russia for its invasion of Ukraine, declaring that Russia remains the sole obstacle to achieving a just and lasting peace.

In a joint statement following their meeting, the group pledged continued support for Kyiv as the thousandth day of Russia’s aggressive war on Ukraine approaches. The G7 includes Italy (currently holding the rotating presidency),
the United States, Canada, Japan, France, Germany, and the United Kingdom.

The statement emphasized the group’s determination to continue imposing severe costs on Russia through stringent sanctions,
export controls, and other effective measures while underscoring their unity and solidarity with Ukraine.

 

 

 

 

USA:

U.S. Treasury Announces $16 Billion Bond Issuance

The U.S. Department of the Treasury announced on Thursday its plan to issue new 20-year bonds worth $16 billion this week,
with auction results expected next Wednesday.

This issuance is part of the U.S. government’s efforts to diversify its funding sources and address the federal budget deficit.
Last month, the department sold similar bonds worth $13 billion at a yield of 4.590% with a bid-to-cover ratio of 2.59 times.

 

 

 

The European Union Imposes a Record Fine of $846 Million

Chinese Cyberattack Targets T-Mobile’s Network in a Wide Espionage Campaign

Chinese Cyberattack Targets T-Mobile’s Network in a Wide Espionage Campaign

The American telecommunications company T-Mobile US has reportedly fallen victim to a cyberattack carried out by Chinese hackers as part of a broader campaign targeting the networks of several telecom companies.
The attack has raised serious concerns about the security of sensitive user data and communication networks in the United States.

 

Content

 

 

 

 

 

 

Incident Details

According to a report by The Wall Street Journal, a T-Mobile spokesperson confirmed that the company’s systems and customer data were not significantly impacted, emphasizing that no evidence was found of user information being compromised.

U.S. officials stated that the hackers aimed to breach call records and communications of a limited number of government
and political figures. While the FBI declined to comment on the T-Mobile breach,
the Cybersecurity and Infrastructure Security Agency (CISA) also refrained from issuing a statement.

 

China’s Response

China has vehemently denied the allegations. Chinese Foreign Ministry spokesperson Lin Jian stated
that China has no interest in meddling in other countries’ internal affairs through cyberattacks,
dismissing the accusations as baseless.

 

A Widespread Campaign

T-Mobile was not the only victim. Earlier reports revealed that major telecom companies
like AT&T and Verizon were also targeted in similar breaches.
These attacks allegedly extended to prominent figures, including President-elect Donald Trump,
members of his family, and individuals from Vice President Kamala Harris’s campaign team.

 

Conclusion

These cyberattacks underscore the significant challenges faced by the United States in securing its networks against advanced threats.
With high-profile government and political figures being targeted,
fostering stronger collaboration between governments and technology companies remains crucial to safeguarding data and ensuring cybersecurity.

 

 

 

Chinese Cyberattack Targets T-Mobile’s Network in a Wide Espionage Campaign

El Salvador Achieves Record Profits from Bitcoin Investments

El Salvador Achieves Record Profits from Bitcoin Investments Amid President Bukele’s Bold Vision for the Future

In an unprecedented move, El Salvador became the first country in the world to adopt Bitcoin as legal tender in 2021.
This bold step sparked widespread debate over its economic viability and faced numerous criticisms due to concerns about the stability of the national economy and the risks associated with digital currencies.
However, recent data shows that El Salvador has made significant profits from its Bitcoin investments,
reflecting a surprising success in President Nayib Bukele’s vision for the future of digital currency.

 

Content
Details
Bitcoin
Challenges

 

 

 

 

 

 

Details

El Salvador began purchasing Bitcoin in September 2021 when the price was around $51,769. Since then,
the country has continued to increase its holdings, now owning over 2,300 Bitcoins.
Thanks to the rise in Bitcoin’s price in global markets, the value of these holdings recently exceeded $100 million.
Bukele expressed his pride in these profits through his social media platforms,
considering El Salvador’s Bitcoin investments a wise decision, even calling it a historic step for his country’s financial future.

 

 

 

Bitcoin

Beyond the financial gains, the adoption of Bitcoin as legal tender has positively impacted El Salvador’s economy in multiple ways.
This move has helped attract foreign investments to the small Central American nation
and earned it global recognition as a preferred destination for cryptocurrency enthusiasts.
This, in turn, has boosted the tourism sector.
Additionally, the Salvadoran government has used some of the profits to fund developmental and infrastructure projects,
further supporting the country’s economy on various levels.

 

 

 

 

Challenges

Despite these achievements, El Salvador still faces significant challenges in the realm of digital currencies.
The extreme volatility in Bitcoin prices could pose a potential risk to the stability of the economy,
especially since it is now being used as official currency alongside the U.S. dollar.
While the country has reaped substantial profits, the government recognizes the need to enhance its digital infrastructure and educate citizens on how to use cryptocurrencies safely and effectively.
El Salvador’s experiment with Bitcoin is an exceptional example of the power of innovation and boldness in economic policy.
Despite the risks and challenges, this step has proven to be a remarkable success, yielding unprecedented profits for the country.
However, the sustainability of this success requires careful monitoring of risks and the implementation of well-thought-out measures to protect the national economy from any fluctuations that could impact its stability.

 

 

 

El Salvador Achieves Record Profits from Bitcoin Investments

 

Trump Chooses Elon Musk and Vivek Ramaswamy

Trump Chooses Elon Musk and Vivek Ramaswamy to Lead a New Advisory Body Overseeing Government Efficiency
President-elect Donald Trump announced his selection of businessman Elon Musk and former presidential candidate Vivek Ramaswamy to lead a new advisory institution named the “Department of Government Efficiency.
” This non-governmental body will provide advice and guidance to the government without operating under its authority.

 

 

Content

 

 

 

Trump

In a statement, Trump explained that this move aims to enhance the effectiveness of the U.S. administration through the new entity’s collaboration with the White House and the Office of Management and Budget to carry out structural reforms and establish an unprecedented entrepreneurial approach in government.
In a comment on his “X” account, Musk remarked that the “Department of Government Efficiency” poses a “threat to bureaucracy,” emphasizing that the goal is not to undermine democracy but to improve government operational efficiency.

 

 

 

Samsung


Samsung Shares Hit a 4-Year Low Amid Concerns Over Trump’s Trade Policies
Its Electronics shares plunged to their lowest level in over four years, dropping by 4.53% to close at 50,600 South Korean won (USD 36.12) on Wednesday. This decline is attributed to growing concerns over potential global trade tensions due to President-elect Donald Trump’s policies, particularly regarding higher tariffs on Chinese imports.
This drop in Samsung’s stock reflects the increasing market anxiety over how U.S. trade policies might affect major tech companies, especially those heavily reliant on Asian markets.

 

 

 

Japan


Japanese Stocks Plunge Amid Fears of Accelerating Inflation and Potential Rate Hikes
Japanese stocks fell sharply at the close of trading on Wednesday,
driven by faster-than-expected growth in Japan’s Producer Price Index (PPI) for October,
raising concerns that the Bank of Japan might hike interest rates again.
According to data released this morning, the PPI increased by 3.4% in October,
surpassing forecasts that predicted a slowdown to 2.9% following a 3.1% rise in September.
This increase is due to the weakening yen, which has raised import costs for some goods.
As a result, the Nikkei 225 index fell by 2.79%, marking its worst daily performance in a week.
It is worth noting that the rise in the PPI might prompt the Bank of Japan to reconsider its monetary policy,
particularly regarding interest rates, to combat growing inflationary pressures.

 

 

 

Trump Chooses Elon Musk and Vivek Ramaswamy

 

Slowing Wage Growth and Rising Unemployment in the UK

Slowing Wage Growth and Rising Unemployment in the UK Support the Case for Monetary Easing by the Bank of England

Wage growth in the UK slowed during the quarter ending in September,
while the unemployment rate increased,
boosting the likelihood that the Bank of England will continue its monetary easing policies as the labor market loses some of its strength.

 

Content

 

 

 

 

UK

 According to data released by the Office for National Statistics on Tuesday,
the average weekly wage in the UK rose by 4.8% year-on-year in the three months to September,
compared to a 4.9% increase in the previous period ending in August,
and growth of about 8% during the same period last year.
The data also showed that the unemployment rate increased to 4.3% from 4.1%, with the number of unemployed rising by 210,000.

 

 

 

 

Euro 

Economic confidence in Germany and the Eurozone fell in November to levels lower than expected. Germany’s ZEW Institute released its economic sentiment indicators for both Germany and the Eurozone on Tuesday, which came in negative and below market expectations. According to the data, the ZEW economic sentiment index for Germany dropped to 7.4 points, below the expected rise to 13.2 points in September, and lower than October’s reading of 13.1 points. The ZEW economic sentiment index for the Eurozone also fell to 12.5 points in September, well below the expected 20.5 points and lower than October’s 20.1 points.

 

 

 

 

 

Gold 

Gold continues to drop near its 7-week low due to the rising dollar and Bitcoin boom.
Gold prices continued to decline in early Tuesday trading, reaching their lowest level in nearly seven weeks,
pressured by the rising U.S. dollar and the surge in Bitcoin, which has reduced demand for dollar-priced commodities, including gold.
This decline comes amid market expectations that the U.S. Federal Reserve under Trump will not rush to cut interest rates.
Additionally, Bitcoin’s record rise, surpassing $89,000, has drawn capital away from gold, further reducing demand for the precious metal. Markets are now awaiting the release of U.S. inflation data for October on Wednesday, which is expected to significantly impact the trajectory of U.S. monetary policy and, consequently, gold prices. In trading, spot gold contracts fell by 0.68%, losing about $17 in value to reach approximately $2,606.58 per ounce, while December gold futures fell by 0.37% to record $2,607.90 per ounce.

 

 

Slowing Wage Growth and Rising Unemployment in the UK

The Federal Reserve Lowers Interest Rates

The Federal Reserve Lowers Interest Rates for the Second Consecutive Time, Emphasizing Labor Market Stability and Slowing Inflation

The U.S. Federal Reserve’s Monetary Policy Committee, after its meeting on Thursday, decided to reduce U.S. interest rates by 25 basis points, bringing the upper limit of the federal funds rate to 4.75%, in line with market expectations.

 

Content

 

 

 

 

Details

This is the second consecutive rate cut following the decision in the September meeting,
as the Fed aims to support the economy amid declining inflation and a slight rise in unemployment.

In its monetary policy statement, the committee affirmed that economic activity continues to expand and that the labor market has improved compared to the beginning of the year.
However, inflation remains slightly above the 2% target.
The committee also expressed a balanced view of economic risks and stressed the importance of monitoring economic data to adjust the course of monetary policy.

 

 

Key Points

of the Monetary Policy Statement:

  • Economic activity continued to expand with improvements in the labor market.
  • Inflation is progressing toward the target but remains relatively high.
  • The Federal Reserve lowered the interest rate to a range of 4.5% – 4.75%.
  • Future interest rate decisions will depend on economic data and risk balance.

The Federal Reserve reaffirmed its commitment to guiding its monetary policy to support full employment and bring inflation back to its 2% target, while monitoring both domestic and international economic conditions. The Fed also indicated it would adjust its policies if risks emerge that threaten the achievement of its goals.

 

 

The Federal Reserve Lowers Interest Rates for the Second Consecutive Time

The Federal Reserve Lowers Interest Rates

The Federal Reserve Lowers Interest Rates for the Second Consecutive Time Amid Slowing Inflation and Rising Unemployment

The U.S. Federal Reserve, in its Federal Open Market Committee (FOMC) meeting that concluded on Thursday
decided to cut interest rates by 25 basis points,
bringing the upper limit of the federal funds rate to 4.75%, down from 5.00%.

 

 

Content

 

 

Interest Rates

This decision was in line with market expectations.
It marks the second consecutive rate cut following a reduction in September,
the first since March 2020. The Federal Reserve based its decision

on recent economic data showing a slowdown in inflation,
nearing the Fed’s target of 2%, and rising U.S. unemployment rates.

 

 

 

Investment Funds

U.S. exchange-traded funds (ETFs) recorded their highest daily inflows in history, led by the IBIT fund.
On November 7, ETFs saw a record $1.38 billion in net inflows,
the highest daily level since their inception, according to SoSoValue data.
BlackRock’s IBIT fund led with $1.12 billion in inflows, accounting for 81% of the total across 11 traded funds.
Fidelity’s FBTC fund ranked second with $190.92 million in inflows
after leading the previous day with $308.8 million.
Other funds included Grayscale Bitcoin Mini Trust, with $20.38 million in inflows,
ARK’s ARKB fund is $17.61 million, and Bitwise’s BITB fund is $13.36 million.
Total trading volume for Bitcoin ETFs on November 7 reached $2.76 billion,

down from the previous day’s $6.07 billion in trades.

 

 

 

 

Oil

Hurricane Rafael halted a quarter of oil production and 17% of natural gas output in the Gulf of Mexico
The U.S. Bureau of Safety and Environmental Enforcement reported
that more than a quarter of crude oil and about 17% of natural gas production in the Gulf of Mexico
were shut down as a result of the hurricane,
which hit the region on Wednesday, causing evacuations of multiple production and drilling facilities.
On Saturday, 490,241 barrels of oil and 313 million cubic feet of natural gas were halted.
The Gulf of Mexico accounts for 15% of U.S. crude oil production and 2% of its natural gas output.
Hurricane Rafael halted a quarter of oil production and 17% of natural gas output in the Gulf of Mexico.

 

 

The Federal Reserve Lowers Interest Rates