2025-09-12 11:35

Markets firm bets on Fed rate cuts Global stocks on track for weekly gain Gold trading near record highs LONDON/SYDNEY, Sept 12 (Reuters) - Global stocks were on track for a weekly gain on Friday as expectations for rapid-fire U.S. rate cuts promised to lower borrowing costs globally, a relief to stressed bond markets and a drag on the dollar. European shares slipped 0.1%, while Nasdaq and S&P 500 futures were flat and down 0.1% respectively, after the Wall Street indexes hit new peaks overnight. (.STOXX) , opens new tab, , The MSCI All Country World Index remained on track for a 1.8% weekly gain. (.MIWD00000PUS) , opens new tab Sign up here. Gold, meanwhile, was on track for a fourth weekly gain in a row and traded near record levels, in a sign that investor concerns about global economic uncertainties persist. Stock markets across Asia had earlier made strong gains. Chinese stocks hit a 3-1/2 year high, spurred by extravagant expectations for AI-related earnings growth. The U.S. consumer price report had been the last major hurdle to the Federal Reserve cutting interest rates next week, and while it showed an increase in prices, markets remained focused on weak job numbers in the previous week. "Even if we have some weaker numbers on the job market, the markets are really focusing on the Fed impact that will give a new boost to growth in the future," said Amelie Derambure, senior multi-asset portfolio manager at Amundi. Veronica Clark, an economist at Citi, said the bank continued to expect 125 basis points of Fed rate cuts over the next five meetings. Futures markets show a 95% chance of a quarter-point cut to 4.00%-4.25% next week, and a 5% chance of a half-point cut. The yield on benchmark 10-year Treasury notes rose 2.5 bps to 4.035%, having fallen below 4% for the first time since April on Thursday. ECB 'IN A GOOD PLACE' In currency markets, the dollar index - which measures the greenback against six peers - was broadly unchanged at 97.635. The dollar gained 0.3% versus the yen to 147.68, after Japanese and U.S. finance ministers on Friday released a statement reaffirming that neither country would target currency levels in their policies. The euro was broadly flat at $1.17305 , having received a modest fillip on Thursday when the European Central Bank kept rates unchanged and signalled that it was in a "good place" on policy. "This suggests the Governing Council is not inclined to ease in the absence of a large growth shock," said Greg Fuzesi, an economist at JPMorgan. "We have thus moved back our call for a final rate cut from October to December." After the meeting, ECB sources told Reuters the December meeting would be the most realistic time frame to debate whether another cut was needed to buffer the economy. Markets imply only a one-in-six chance of a December easing. Britain's economy recorded zero monthly growth in July, in line with forecasts but showing a sharp drop in factory output, weighing on sterling which was down 0.1% at $1.35586. In commodity markets, gold firmed 0.5% to $3,651 an ounce , just off the record top of 3,673.95 hit early in the week. Oil prices gained despite the International Energy Agency predicting an even larger record oil surplus next year as OPEC continues to pump more product. Brent was last up 1.4% at $67.28 a barrel, while U.S. crude gained 1.2% to $63.09 per barrel. https://www.reuters.com/world/china/global-markets-wrapup-4-pix-2025-09-12/

2025-09-12 11:20

BRUSSELS, Sept 12 (Reuters) - The European Union could phase out Russian gas within six to 12 months by replacing it with U.S. liquefied natural gas, and the United States communicated this position to EU officials this week, U.S. energy secretary Chris Wright told Reuters on Friday. Wright was speaking in Brussels, where he met EU energy commissioner Dan Jorgensen on Thursday to discuss ending Europe's purchases of Russian energy. The EU is negotiating legal proposals to phase out imports of Russian oil and gas by January 2028, with a ban on short-term contracts kicking in from next year. Sign up here. "I think this could easily be done within 12 months, maybe within six months," Wright said, of how quickly the EU could phase out Russian gas. "I definitely voiced the opinion we could do it faster. On the U.S. side, we could do it faster, and I think it would be good if those dates were moved up even more. I don't know that that's going to happen, but that was dialogued," he said, referring to his meeting with Jorgensen. A European Commission spokesperson did not immediately respond to a request for comment. The U.S. is ramping up pressure on Europe to cut off energy revenue to Moscow, seeking to end the war in Ukraine. As Russia's most lucrative export, its fuel revenue has helped fund the war. Jorgensen said , opens new tab on Thursday it was unacceptable the EU continued to import Russian energy - but that the 2028 phase out was ambitious and would ensure EU countries do not face energy price spikes or supply shortages in the meantime. EU Commission President Ursula von der Leyen said this week the bloc was considering a faster phase-out of Russian fossil fuels as part of new sanctions against Moscow, without specifying how Brussels would do this. New sanctions require unanimous approval from all 27 EU members. Hungary and Slovakia have so far opposed sanctions on Russian gas - which is why the EU proposed the 2028 phase out, in a law which can be approved by a reinforced majority of EU countries. "The faster we phase out, the sooner you put pressure on Russia," Wright said. Europe is expected to purchase around 13% of its gas from Russia this year, down from roughly 45% before Russia's full-scale invasion of Ukraine in 2022, according to EU figures. https://www.reuters.com/sustainability/climate-energy/eu-could-quit-russian-gas-within-year-us-energy-chief-says-2025-09-12/

2025-09-12 11:08

US CPI rises 0.4% in August Weekly jobless claims at a near 4-year high Silver prices at a 14-year high All precious metals headed for weekly gains Sept 12 (Reuters) - Gold prices rose on Friday to hover near a record high scaled earlier in the week, as concerns over a weak labour market in the U.S. cemented expectations of multiple interest rate cuts by the end of the year, boosting demand for the yellow metal. Spot gold was up 0.5% at $3,650.23 per ounce, as of 1027 GMT, near an all-time high of $3,673.95 touched on Tuesday. Bullion has gained 1.8% so far this week and was headed for its fourth straight weekly gain. Sign up here. U.S. gold futures for December delivery were up 0.4% at $3,689.10. "The market is preparing for the Federal Reserve to start cutting rates at the next meeting. The expectation is that this is not only one cut, (while) U.S. President Donald Trump's desire for lower policy rates also lifts gold's appeal," said UBS analyst Giovanni Staunovo. Trump reiterated his call on Wednesday for Federal Reserve Chairman Jerome Powell to cut benchmark interest rates. "Given these tailwinds and following the recent step higher in exchange-traded fund flows (ETFs), we now look for gold to rise to $3,900/oz by mid next year," he added. U.S. consumer prices rose 0.4% in August, the steepest monthly rise in seven months, while weekly jobless claims surged to their highest since October 2021 last week. The Fed will cut its key interest rate by 25 basis points on September 17, said almost all 107 economists in a Reuters poll. Non-yielding bullion tends to perform well in a low-interest-rate environment. Gold prices have risen about 39% so far this year, driven by a soft dollar, strong central bank buying, dovish monetary policy and heightened global uncertainty. Meanwhile, China is seeking public feedback on a proposal to make it easier to import and export gold and gold products by streamlining the licence system, its central bank said on Friday. Elsewhere, spot silver rose 1.7% to $42.27 per ounce, at a 14-year high, platinum was up 0.9% at $1,391.50 and palladium gained 1.6% to $1,206.81. All three metals were set for weekly gains. https://www.reuters.com/world/india/gold-hovers-near-all-time-high-soft-us-data-boosts-rate-cut-bets-2025-09-12/

2025-09-12 10:55

Villeroy says another rate cut entirely possible Rehn: downside risks not to be underestimated Kazaks singles out December meeting Kocher says too early to say if rate cuts over FRANKFURT, Sept 12 (Reuters) - European Central Bank policymakers were keeping their options open on Friday about possible future interest rate cuts, flagging an uncertain outlook for trade, energy prices and foreign exchange rates. The European Central Bank left interest rates unchanged on Thursday and maintained an upbeat view on growth and inflation, leading traders to cut their expectations for any further reductions in borrowing costs. Sign up here. But a number of policymakers speaking on Friday hinted that the debate was far from over even now that the ECB has halved its policy rate to 2% from 4% in the space of a year. "There is no predetermined path but another rate cut is entirely possible at the coming meetings," France's central bank governor Francois Villeroy de Galhau told TV station BFM Business. Finland's Olli Rehn -- who like Villeroy is often among the ECB's doves, as policymakers who favour lower rates are known -- also said downside risks to inflation that stem from cheaper energy and a stronger euro should not be underestimated. The ECB's latest projections, published on Thursday, see inflation falling from around 2% currently to 1.7% next year and 1.9% in 2027. Latvian central bank governor Martins Kazaks singled out the ECB's December meeting, when those projections will be updated, as "rich" in information to determine whether inflation was straying from the bank's 2% target. He warned of risks such as a possible delay to the European Union's new carbon trading system, which adds some 0.3 percentage points to the ECB's inflation projections, potentially "deflationary" Chinese imports and a stronger euro. Austria's new central bank governor Martin Kocher also said it was too early to say whether the ECB's rate-cutting cycle was over and the central bank would decide what to do at each meeting based on the available data. Money markets showed the ECB was unlikely to reduce borrowing costs any time soon, with only a slight chance of a further cut towards next summer. https://www.reuters.com/business/finance/ecb-policymakers-keep-rate-options-open-amid-uncertain-outlook-2025-09-12/

2025-09-12 10:49

BEIJING, Sept 12 (Reuters) - China is seeking public feedback on a proposal to make it easier to import and export gold and gold products by streamlining the licence system, its central bank said on Friday. The world's top gold consumer intends to expand the number of customs authorities that are eligible to manage the "Non-one-batch-one-licence" for gold products to 15 from 10 previously, People's Bank of China said in a statement , opens new tab. Sign up here. "Non-one-batch-one-licence" means that the same licence can be used for more than one customs clearance as long as this does not exceed the prescribed quantity, the central bank said. "The validity period of permit is extended and there is no limit on the number of times the licence could be used within effective period," it said. The "Non-one-batch-one-licence" will be valid for nine months, according to the document. Typically such licences expire in six months. Gold prices have staged a record-breaking rally this week driven by growing geopolitical uncertainty, heightened expectations of a U.S. interest rate cut this month and persistent central bank buying. Gold has climbed by 33% so far this year. "The new proposal is just to simplify some procedures to make it more convenient for gold imports, but it does not mean that imports will be on the rise afterwards," said an industry expert on condition of anonymity due to the sensitivity of the matter. "The central bank has the final say on the import volumes." https://www.reuters.com/markets/asia/china-seeks-feedback-plans-streamline-gold-import-rules-2025-09-12/

2025-09-12 10:37

Sept 12 (Reuters) - Futures tied to Canada's main stock index edged lower on Friday as investors paused after two weeks of record rallies and turned their focus to a potential interest-rate cut by the Bank of Canada next week. Futures on the S&P/TSX index SXFcv1 fell 0.1% to 1,737 points by 06:26 a.m. ET (1026 GMT). Sign up here. The benchmark index on Thursday notched another record high as U.S. data supported bets on interest-rate cuts by the Federal Reserve. U.S. consumer prices rose more than expected in August, but a surge in first-time applications for unemployment aid last week kept the Fed on track to cut interest rates next Wednesday. The odds that the BoC will also resume its easing cycle on September 17 rose after data released last Friday showed that Canada's economy shed 65,500 jobs in August, while the unemployment rate climbed to 7.1%. Additionally, Canadian Prime Minister Mark Carney's announcement of five major projects aimed at diversifying the economy and reducing reliance on the U.S., as tariffs take a toll, contributed to Thursday's gains. The projects will be eligible for fast-track approvals as part of a broader campaign. In commodities, gold prices rose and copper futures were headed for a weekly rise on Friday, while oil prices steadied. FOR CANADIAN MARKETS NEWS, CLICK ON CODES: TSX market report Canadian dollar and bonds report CA/ Reuters global stocks poll for Canada , Canadian markets directory https://www.reuters.com/markets/europe/tsx-futures-retreat-record-run-focus-next-weeks-rate-decision-2025-09-12/