Financial Report

The PCE (Personal Consumption Expenditures) Index, the Federal Reserve’s preferred inflation measure, has been on the rise but remains within expectations. Although there was heavy speculation that this year’s inflation would spike due to impactful tariff policies, it has largely stayed within forecasts—enough for the Federal Reserve to introduce a 25 basis point rate cut. The PCE Index data has shown this trend to continue. This is followed up closely by the Consumer Sentiment report which has been unstable due to significant inflation concerns, but has finally tempered itself after three straight months of consumer sentiment falling to yearly lows. Finally,…

It has been a relatively light week following the recent rate changes, as the Federal Reserve has felt the need to drop the current rate by 25 basis points. They have also mentioned the possibility of two additional rate cuts within this year. This follows the recent sharp criticism from the current administration, which condemned the Federal Reserve’s insistence on maintaining existing interest rates. This development coincides with the Leading Economic Indicators, which have shown that the U.S. economy remains in decline, a trend that began in August. With further rate cuts on the horizon, the broader market reaction has…

Both the CPI and PPI came in precisely within expectations. Under the current circumstances, there is now a very high probability that the Federal Reserve will implement a quarter-point rate cut, a view widely shared by industry analysts. There is also a strong possibility of another cut to follow. Meanwhile, Consumer Sentiment has hit another low in the last 4 months, as many have growing concerns about the state of the job market in addition to inflation continuing to grow. It is unknown how much the rate cuts will impact inflation, but so far the Federal Reserve has managed to…

The release of major inflation data has once again arrived with the Consumer Price Index and the Producer Price Index, offering insight into the current state of the economy. Based on recent statements from the Federal Reserve, there is considerable speculation that rate cuts may occur regardless of the trajectory of inflation. More recent data releases have shown that the economy is still on shaky ground after changes to tariff policies, leading things to be more unstable than anticipated. Trade deficits have also shown to have bounced back significantly from the prior months, while the manufacturing side are still showing…

With the release of the PCE Index, inflation has shown to still be creeping upwards but there is significant speculation that the Federal Reserve will continue with their interest rate cut in the future. Meanwhile, the Consumer Sentiment report has been growing pessimistic amidst the job market, which has been shown to be in a pattern of cooling down. This is offset by the strong growth by the GDP estimates for the second quarter, as it was initially predicted the tariff changes would have a significant impact on the GDP estimates, but the impact has been less prominent than expected.PCE…