Fx trading News: Fed Beige Book: Economic activity continued to expand modestly in the last six weeks of last year!

 

2020-01-17 11:10      from:CAPSTONE    author:Jack

Capstone Forex Trading News: The Federal Reserve released its latest Beige Book report on Wednesday, which showed that US economic activity continued to expand "modestly" during the last six weeks of 2019.
 
According to the report, the Richmond Fed and Dallas Fed's regions have higher-than-average economic growth rates. On the other hand, the economic performance of the Philadelphia Fed, St. Louis Fed and Kansas City Fed's regions was below average. Overall, the outlook for the near-term economic outlook is "still relatively favourable."
The Beige Book states that the US economy looks essentially the same as most of last year. Manufacturing activity is flat, while consumer spending is the driving force behind economic growth. Car sales were mixed, with car sales flat in a few regions.

Capstone Forex Trading News
 
One thing that is new in this report is that the manufacturing, transportation and energy industries have reported layoffs. Despite this, the national job market remains tight.
Some regions reported that the rate of increase in retail prices has accelerated slightly, but is still relatively modest. Some companies are passing on the cost of tariffs to consumers. This is happening mainly in the retail industry, but also in the construction industry.
 
The growth rate of the US economy has been gradually slowing from an annual rate of 3% at the end of 2018. Due to concerns about this trend, the Fed took three interest rate cuts last year, reducing the benchmark interest rate by a total of 75 basis points. Therefore, many economists and Fed officials believe that the US economy will achieve a "soft landing", that is, the economic growth rate will only slow down slightly, reaching the so-called "trend" growth rate, which is estimated to be about 1.75% to 2% .
While some economists remain concerned about the economic outlook, Dallas Fed Chairman Robert Kaplan said earlier on Wednesday that he had increased confidence that the economy would avoid a sharp downturn. He also said that the Fed's recent interest rate action seemed to give investors a "green light" for buying risky assets, which is a cause for concern.
 
 Other interesting points in this report released today are as follows:
The St. Louis Fed said that river barge prices are falling because of lower soybean exports.
The Minneapolis Federal Reserve said Montana is suffering from harsh snow conditions, but the resort is experiencing significant capital improvements.
The Kansas City Fed said that slight improvements in agricultural prices and income are not expected to significantly improve the financial status of farmers in the area.
Energy industry sources in the Dallas Fed's area say they expect more layoffs in the industry this year.
The New York Fed says ticket prices on Broadway have risen.
 
The Philadelphia Fed said that the possible tariffs on European wines have caused a merchant in the region to hoard more than 35,000 cases of wine.
After the Beige Book was announced, the US stock market continued to rise as international tensions eased.
The Fed publishes a Beige Book report eight times a year, which provides anecdotal evidence of the health of the US economy and helps the Federal Open Market Committee (FOMC) assess the state of the economy. The Federal Open Market Committee will weigh the information reflected in the Beige Book report before the next monetary policy development meeting.


Why Choose Capstone Online CFD Trading?
* EURUSD Avg spread of 0.1 pips is the best in the world
* Starting Deposit $100
* Leverage up to 1:400
* Transfer your funds securely with 0% Commission
* Average execution speeds of under 45ms*
* Our diverse and proprietary liquidity mix keeps spreads tight 24/5

 

Got a Question? Contact us now

Liquidity providers:

  • Morgan Stanley
  • Nomura Holdings
  • RBC Royal Bank
  • Royal Bank of Scotland
  • Société Générale
  • UBS
  • Bank of America
  • Barclays
  • BNP Paribas
  • Citadel
  • Citibank
  • Commerzbank
  • Credit Suisse
  • Deutsche Bank
  • Goldman Sachs
  • JPMorgan Chase & Co.
  • KCG
  • Macquarie Group


Capstone forex facebook Capstone forex twitter Capstone forex instagram Capstone forex linkedIn Capstone forex Youtube

Margin FX and CFDs are leveraged products that can result in losses exceeding your initial deposit.They are not suitable for everyone,please make sure that you fully understand the risks involved.

Before you open an account and make a deposit with Capstone,please ensure to look through our legal documents, and based on your personal financial situation, confirm if you have fully understand the risks involved in FX trading.

The information on this site is not directed at residents of the United States, Japan, Afghanistan, Algeria, Angola, Bosnia and Herzegovina, Canada, Cuba, Guyana, Iran, Iraq, Lao PDR, Myanmar, North Korea, Papua New Guinea, Sudan, Syria, Uganda, Yemen or any particular country outside Australia and is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law and regulation.

There are business partners:fund custodian Banks,liquidity providers – Banks,ECNs, etc.,trading and technical support companies,market news and data providers,etc.,who establish cooperation relations with Capstone through the website directly or indirectly.Among them,all these trading names and icons of the cooperative merchants are owned by themselves and have nothing to do with Capstone.

Capstone Global is a group of companies which include Capstone Global Australis Pty Ltd, an ASIC regulated provider of CFD and Forex trading services (ABN 95 612 024 889, AFS License No. 494799) and Capstone Global Markets LLC. which is a registered company of St. Vincent and the Grenadines, Limited Liability Number 119 LLC 2019. Capstone Global does not accept applications from residents of countries or jurisdictions where such distribution or use would be contrary to local laws or regulations.

Copyright © 2020 Capstone. All rights reserved.

CAPSTONE FOREX GLOBAL | Forex Trading | Sitemap