In the latest Federal Open Market Committee (FOMC) meeting, a majority of Federal Reserve officials supported a 50 basis point rate cut, citing inflation moving closer to the Fed's target and a weakening labor market as key factors. This group believed a larger reduction was necessary to stabilize the economy.
However, some participants favored a more cautious 25 basis point cut, arguing that it would provide sufficient monetary easing without being overly aggressive. Another perspective emphasized that the overall direction of rate cuts was more important than the size of the initial reduction, suggesting that the broader trajectory of monetary policy would have a greater long-term impact.
Source: Federal Reserve
Global markets remained defensive as stalled U.S.–Iran negotiations and persistent Middle East tensions continued to fuel inflation concerns and strengthen the dollar.
Global markets remained under pressure as persistent inflation concerns and stalled U.S.–Iran diplomacy reinforced expectations for tighter monetary policy.
Detail Yields Rise While Metals Trade Mixed (05.13.2026)Global markets turned cautious as escalating U.S.–Iran tensions and stronger U.S. inflation data reinforced expectations for higher interest rates.
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