Express News | European Central Bank SPF Survey: Inflation may return to target faster than originally estimated.
Strong U.S. Data Suggest Dollar Can Rise Further -- Market Talk
Yu Xin Bank: The euro has rebounded from its recent decline, but is still expected to weaken further.
After the European Central Bank cut interest rates by 25 basis points on Thursday, the euro rebounded from its decline against the US dollar, but analysts at Yuexin's research department said the euro may soon decline again. They say that with investors facing the prospect of further interest rate cuts by the European Central Bank in the coming months, and the possibility of rate cuts at each meeting, better-than-expected US data "benefits the dollar," indicating a slower pace of rate cuts by the Federal Reserve. Yuexin stated that if the euro falls below 1.08 US dollars, it could drop to 1.07 US dollars. According to FactSet, the euro rose 0.1% to 1.0843 US dollars, having fallen to a two-and-a-half-month low on Thursday.
Two ECB officials are pleased to see progress in reducing inflation, but still warn that it should not be taken lightly.
European Central Bank Governing Council member Madis Muller stated that as the euro area economy weakens, the inflation rate is moving towards the European Central Bank's 2% target, but the danger of price increases still exists.
Will the Federal Reserve necessarily cut interest rates in November? moody's refutes!
moody's chief economist pointed out that the Federal Reserve has already achieved its dual mandate, so there is no reason to keep interest rates far above the equilibrium level.
"Economic non-landing" and "Trump trade" dominate the USA market
USA's September retail sales data surged beyond expectations, increasing the possibility of "non-landing", severely impacting interest rate cut expectations, with US bond yields collectively rising; the expectation of Trump's re-election is heating up, boosting the return of "Trump trade", with his media technology companies' stock prices skyrocketing since September, banks performing well, and both the US dollar and bitcoin rising to phase highs.