Economic News

SINGAPORE (AFX) - The US dollar drifted to fresh session lows in afternoon trading here after US data released overnight reinforced views of a slowing US economy and the likelihood of the Fed keeping rates unchanged, dealers said. Some analysts believe the July consumer inflation numbers and housing starts data suggest the Fed could even consider cutting rates from next year, a perception that ha ...

WASHINGTON (AFX) - Inflation continues to trend upwards and the Federal Reserve will not hesitate to hike rates further if necessary, said Dallas Federal Reserve Bank President Richard Fisher. "There is a definite increase in inflationary momentum," Fisher said in said in an overnight speech to a Dallas business group. "The Federal Reserve will not tolerate inflation," he sai ...

SYDNEY (XFN-ASIA) - The US dollar was trading lower against the yen and euro here following a tame US consumer inflation report and data indicating moderating economic growth, dealers said. They said the US currency is expected to remain under pressure given that expectations for another Federal Reserve interest rate hike this year have been cut to 30 pct from 46 pct prior to the overnight data r ...

WASHINGTON (Dow Jones) -- The economy and interest rate policy are at a crossroads and any Fed watcher who is certain about which road the central bank will pick should be taken with a grain of salt, said Dallas Fed president Richard Fisher on Wednesday. The U.S. economy is downshifting, but there is also a definite increase in inflation momentum, he said. Globalization is also an important  ...

WASHINGTON (Dow Jones) - Core consumer inflation eased back in July, rising just 0.2% after four months of 0.3% gains, and reducing the likelihood that the Federal Reserve Board will raise interest rates at next month's policy meeting. "The combination of relatively benign core inflation and weak housing in July reinforces our view that the Fed is finished tightening for this cycle," said Dougl ...

WASHINGTON (Dow Jones) -- Utilities increased their output to cool the nation's homes and businesses in July, boosting overall industrial output by 0.4%, the Federal Reserve said Wednesday. Output at U.S. factories increased 0.1%. Production at utilities rose by 2% compared to 0.9% in June, while capacity utilization at utilities climbed to 88.2%, up from 86.5% in June, the Fed said. Most of th ...

DALLAS (AFX) - A member of the Federal Reserve's policy-making arm said Wednesday it is not clear whether the Fed is done raising interest rates or could resume hikes in September or October. Richard Fisher, president of the Federal Reserve Bank of Dallas, said inflation is gaining momentum and the Fed "will not tolerate inflation. But that doesn't mean we need to take a sledgehammer to the  ...

YORK, Pa. (AFX) - President Bush hopped on a Harley-Davidson at a motorcycle factory Wednesday as he made an election-year pitch for Republican stewardship of the economy. The president also was in Pennsylvania to raise cash for a GOP hopeful in the state's gubernatorial campaign. Cheers and applause erupted inside the Harley-Davidson Inc. vehicle operations plant here when Bush straddled a high ...

DALLAS (AFX) - A member of the Federal Reserve's policy-making arm said Wednesday that inflation is gaining momentum, making it impossible to say whether the Fed is done raising interest rates. Richard Fisher, president of the Federal Reserve Bank of Dallas, also said while the economy is cooling because of the housing slowdown and rising energy prices, there is no recession in sight. Fisher mad ...

NEW YORK -(Dow Jones)- Gold futures rose Wednesday as the dollar weakened after inflation data that seemingly reinforced the Federal Reserve's recent decision to pause in monetary tightening, traders and analysts said. December gold settled $6.10 higher to $639 a troy ounce on the New York Mercantile Exchange, while September silver added 20 cents to $12.285. "We are continuing to move off o ...