April 16th 2022, 5:35:24 am
(about a year ago)
🔥Hottest US inflation🔥
US inflation report for March came out today at 8.5% for the past 12 months, which is the highest level since 1981, and showed a jump in prices across the food, energy, and housing sectors. This report increased the chances of the US central bank to increase the interest rate by 0.5 percent in their next month’s meeting to curb inflation. The mortgage rates in the US are surging, with 30-year fixed going over 4.5% in anticipation of the central bank’s decision.
US equities initially climbed higher as the report was in line with expectations before the reports of peace negotiations between Russia and Ukraine not being promising came out. Oil prices jumped more than 7% to 100 a barrel. The markets eventually changed course and ended in red territory. The US S&P 500 and Nasdaq dropped 0.34% and 0.30% respectively. Canada’s S&P/TSX lost 0.34%.
Bank of Canada will provide its policy report tomorrow and is expected to increase interest rates by 0.5%. Both US and Canada’s central banks are expected to raise interest rates by at least 0.25% in each of their meetings in 2022, pushing the policy rates over 2%.
US dollar gained against the Canadian dollar, standing at 1.26 CAD. Cryptos continue to decline, with Bitcoin and Ethereum losing 12.82% and 11.72%.