Author: Sebastian Montague

In recent developments, the decision-making authority has taken a stance to keep monetary policies unchanged for the time being, attributing this pause to concerns over potential long-term inflationary pressures that might arise from imposed tariffs. Despite this forewarning, data collected up until May has shown an unexpected trend; consumer price inflation has not spiked as anticipated, demonstrating a weaker linkage between tariffs and consumer pricing than previously theorised. One possible interpretation of this trend suggests it might be too premature to witness the direct impacts of tariffs on pricing. Alternatively, it could indicate a scenario where demand elasticity is curbing…

At a pivotal juncture for the equity markets, the Federal Reserve’s June session of the Federal Open Market Committee (FOMC) carries significant weight. This meeting holds even greater importance given the current climate, where the stock market teeters on the edge, with the benchmark index hovering approximately 3% beneath its record high achieved in February. This moment is set against a backdrop of persistent global trade tensions and a newly bristling geopolitical standoff between Israel and Iran, adding layers of complexity and uncertainty. Investors stand at the ready, keen to dissect and interpret any signals from the Fed, especially the…

In the current financial climate, with the Federal Reserve and other central banks across the globe on the brink of announcing their latest policy decisions, one might anticipate these fiscal authorities to capture the spotlight in the market’s stage. However, the plot thickens far beyond the realm of monetary policy. The global attention has veered towards a more tumultuous narrative, with escalating tensions and the looming spectre of a US military involvement in Iran stirring the pot of global geopolitics. The implications of these geopolitical manoeuvres have sent ripples through the market. In recent developments, oil prices surged, a reaction…