Yield curve steepens to 34 basis points as Fed holds rates steady
The Federal Reserve kept its benchmark rate unchanged and called growth "strong," yet longer-term Treasury yields climbed as investors focused on inflation and deficit risks.
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ECB seen holding rate at 2.50% despite inflation near 3.8%
The European Central Bank is widely expected to keep its deposit rate at 2.50% on Thursday after two hikes earlier in 2026, even as eurozone inflation runs at 3.8%. The decision matters for EUR/USD, which has fallen toward 17-month lows.
CBA, ANZ now see RBA lifting cash rate to 4.85% on November 3
Commonwealth Bank of Australia and ANZ have switched to forecasting a fifth 2026 rate increase from the Reserve Bank of Australia next week, joining Westpac's existing call. Markets are now debating whether a further move follows in February.
Bank of Canada hikes rate 25bp to 2.5%, leaves door open to more
The Bank of Canada raised its overnight rate target by 25 basis points to 2.5% on October 28, its first increase since July 2023, citing elevated oil prices feeding through to broader inflation.
RBA’s Bullock sees inflation above August forecasts on oil shock
Reserve Bank of Australia Governor Michele Bullock said renewed Middle East conflict has pushed energy prices well above the central bank's August assumptions, lifting the inflation outlook ahead of next week's rate decision.
Australian CPI climbs to 4.3% in September, topping forecasts
Australia's annual inflation rate accelerated to 4.3% in September from 4.0% in August, beating the 4.2% forecast, data from the Australian Bureau of Statistics showed. The figure lifted the Australian Dollar against the US Dollar.
Goldman: AI data-centre boom could push US core PCE up 50bp
Goldman Sachs economists calculate that the worldwide rush to build AI infrastructure will drive US core PCE inflation as much as 50 basis points higher at its peak, with the boost unwinding over the course of 2027.
New Zealand’s central bank likely to lift rate to 3% this week
Economists broadly expect New Zealand's central bank to push its benchmark rate up by a quarter point to 3% on Wednesday, a third consecutive increase that should drive moves in NZD/USD and short-term yields.
Bank of Canada seen hiking rates to 2.50% on Wednesday, first move in a year
Markets price an 81% probability the Bank of Canada raises its policy rate by 25 basis points to 2.50% this week after Governor Tiff Macklem signalled upward revisions to inflation forecasts. Economists remain split on whether the move is justified.
US services activity cools to 57.9 in October, just shy of forecasts
S&P Global's flash services gauge dipped to 57.9 in October from 59.8, narrowly below the 58.0 estimate, while the manufacturing reading topped expectations at 56.0.