Latest Finance-Economy News
US PPI Surges 1.4% MoM in April, Triple Consensus Estimate
Producer prices jumped 1.4% month-on-month, nearly triple the 0.5% consensus, with core PPI at 1.0% and annual at 6.0%, the highest since 2022. This confirms energy shock contaminating the producer pipeline.
S&P 500 Closes at Record 7,444.25 Despite Inflation Spike
The index rose 0.58% as chip stocks rebounded and six of seven Mag 7 names gained, showing AI-driven earnings overriding hot inflation data. Futures point to further gains pre-bell.
Kevin Warsh Confirmed as Fed Chair in Party-Line Senate Vote
Former Fed Governor Kevin Warsh was confirmed as the new Federal Reserve Chair. Boston Fed’s Collins indicated a rate hike could be possible amid rising inflation pressures.
30-Year Treasury Yield Tops 5.05% in Weak Auction
The 30-year bond auction cleared at 5.050%, up 17bp from prior, crossing 5% for first time since May 2025. 10-year yield hit 4.473%, highest since July 2025.
EIA Reports Larger-Than-Expected Crude Oil Draw of 4.3M Barrels
Crude inventories fell by 4.3 million barrels, exceeding the 2.0M consensus draw, supporting energy prices amid inflation concerns.
Analysts Warn of New Inflation Regime Under Warsh Leadership
Post-pandemic framework shifts to structurally higher inflation phase, with breakevens rising: 5Y from 2.445% to 2.72%, 10Y to 2.5%, 30Y to 2.3%. Fed may remove easing bias in June.
S&P Futures Up 0.3%, Dow Futures Climb 0.7% Pre-Bell
Wall Street eyes gains as S&P and Nasdaq hit records yesterday; Dow futures lead early move amid Trump-Xi talks mention. Nasdaq futures +0.2%.
EZ Employment Grows 0.1% QoQ, Offsetting French Unemployment Rise
Eurozone employment edged up 0.1% quarter-on-quarter, matching minimal expectations but barely countering French jobless shock. ECB's Lane and Lagarde commented.
German Current Account Surplus Widens to 23.6 Billion Euros
Germany's surplus increased from 20.5 billion, signaling stronger trade amid global tensions. Contributes to positive EZ data backdrop.
US Mortgage Applications Rise 1.7%, Rates at 6.46%
Applications increased week-on-week with purchase index at 177.7, despite elevated 30-year MBA rates ticking to 6.46%. Reflects resilient housing demand.
Inflation Nears 4%, Investors Reset Expectations Higher
With CPI approaching 4% and no 2% target hit in five years, market-based inflation measures rise, implying Fed policy too loose. Signals potential policy shift.