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The yen was last down about 0.15% at 136.36 after a knee-jerk plunge of as much as 0.62% after the BOJ kept policy unchanged in Governor Haruhiko Kuroda's final policy meeting before retirement. Despite some volatility against the yen, the U.S. dollar was mostly flat on Friday. Against a basket of currencies, the U.S. dollar index was little changed at 105.28 but remained on track for a weekly gain of 0.73%. The focus now turns to the closely watched nonfarm payrolls report later on Friday, the next major data point that could offer clues on the Fed's next steps for monetary policy. According to a Reuters survey of economists, nonfarm payrolls likely increased by 205,000 jobs in February after surging by 517,000 in January.

☆ CFOs Warily Watch—and Wait—for an Acceleration in Fed Interest-Rate Hikes
▼ + stars: | 2023-03-09 | by ( Jennifer Williams-Alvarez | ) www.wsj.com time to read: +1 min

For some finance chiefs of companies such as auto retailer Sonic Automotive Inc., the possibility that the Fed will raise interest rates by a larger half-percentage-point later this month comes as little surprise given that consumer spending remains strong and hiring continues to be robust. The Federal Reserve stands ready to accelerate interest-rate hikes to combat inflation, central bank Chair Jerome Powell said in congressional testimony the past two days. Some finance chiefs who are already pushing their companies to do more with less amid rising costs said they are closely monitoring the impact of what comes next. Mr. Powell’s comments, delivered during semiannual hearings before Senate and House panels, open up the possibility that a larger half-point interest rate increase may be in store when Fed officials meet for their two-day policy meeting March 21-22. “The latest economic data have come in stronger than expected, which suggests that the ultimate level of interest rates is likely to be higher than previously anticipated,” he told the Senate Banking Committee on Tuesday.

☆ Crypto bank Silvergate says it'll shut down as the market meltdown claims its 1st mainstream casualty
▼ + stars: | 2023-03-09 | by ( George Glover | ) www.businessinsider.com time to read: +4 min

"In light of recent industry and regulatory developments, Silvergate believes that an orderly wind down of bank operations and a voluntary liquidation of the bank is the best path forward," Silvergate Capital, the holding company for Silvergate Bank, said Wednesday. But the combination of the Federal Reserve's aggressive interest-rate hikes and FTX's collapse in November cast a shadow over its future. Last week, Exness strategist Wael Makarem warned of the potential fallout for the crypto market and industry. "As a result, the market could be exposed to new price corrections while investors could be concerned about a potential impact on other market players," he said. Read more: Troubled crypto bank Silvergate sees regulators swoop in to try to help it stay afloat

Mortgage rates have been increasing over the past few weeks in response to strong economic data. See more mortgage rates on Zillow Real Estate on ZillowMortgage Refinance Rates TodayMortgage type Average rate today This information has been provided by Zillow. See more mortgage rates on Zillow Real Estate on ZillowMortgage CalculatorUse our free mortgage calculator to see how today's mortgage rates would impact your monthly payments. 15-Year Fixed Mortgage RatesThe average 15-year fixed mortgage rate is 5.89%, an increase from the prior week, according to Freddie Mac data. Mortgage rates started ticking up from historic lows in the second half of 2021 and increased significantly in 2022.

☆ Today’s good economic news could spell trouble for Americans down the road
▼ + stars: | 2023-03-09 | by ( Christine Romans | ) edition.cnn.com time to read: +3 min

From the labor market to consumer spending to inflation, key readings on the economy have been running hot. Although that might sound like good news for Main Street, it’s a problem for the Federal Reserve. After a spate of stronger-than-expected economic data, buckle up for an intense few weeks of Fed guessing, especially surrounding the tight labor market. The strong labor market means workers are enjoying the best wage growth in years. The next two weeks will serve as a crucial test on how much more medicine the economy needs.

☆ White House will not interfere with Fed, but hopes people will 'take a breath'
▼ + stars: | 2023-03-08 | by ( Andrea Shalal | ) www.reuters.com time to read: +4 min

"The White House isn't going to interfere with the Fed's management," the official said, reiterating the independence of the U.S. central bank. The White House is reliant on Powell, a moderate Republican, to steer the economy to a soft landing as Democratic President Joe Biden gears up for a second presidential campaign that will focus on job creation and new investment. Tuesday's hearing highlighted the gap between the Fed's focus on achieving its 2% inflation target and the White House and progressive Democrats' push for more, better-paying jobs. "The Fed is independent and we do not comment on their policy," White House press secretary Karine Jean-Pierre told reporters, when asked about Powell's remarks Tuesday. White House economists see recent moderation in inflation and strong jobs data as "evidence that the president's economic plan is working," she said.

☆ The S&P 500 could fall 20% by midyear as Powell's hawkish testimony sets the stage for higher rates than markets were expecting, JPMorgan says
▼ + stars: | 2023-03-08 | by ( Filip De Mott | ) www.businessinsider.com time to read: +3 min

The S&P 500 could fall as far as 3,200, according to technical analysis from JPMorgan. On Wednesday, the S&P 500 entered that range, hitting an intraday low of 3,969.76 before closing slightly higher. Analysts had previously pegged 3,500 as an area where the S&P 500 could find a bottom in the first half of this year. Tackling inflation, Fed officials have raised interest to a target rate of 4.50%-4.75%. On Wednesday, he reiterated his view that markets may still see a 20% gain from current levels as inflation continues to cool off.

☆ Morning Bid: Breathtaking Powell jolts
▼ + stars: | 2023-03-08 | by ( ) www.reuters.com time to read: +5 min

Rate markets are still scrambling to re-set and even the White House seemed taken aback by what it hoped would not be an overreaction to the surprisingly robust start to the new year. "But we're dealing with one month of data and people need to sit back and take a breath." The frenetic activity saw the measure of implied Treasury market volatility (.MOVE) jump to its highest level this year. Sterling , the Japanese yen , China's yuan and both the Australian and Canadian dollars all hit their lowest levels of 2023. * Bank of Canada policy decision* U.S. Federal Reserve Chair Jerome Powell testifies to House Financial Services Committee.

☆ Jim Cramer's top 10 things to watch in the stock market Wednesday: Powell Day 2, strong jobs
▼ + stars: | 2023-03-08 | by ( Jim Cramer | ) www.cnbc.com time to read: +4 min

Barclays raises price target on Zillow (Z) to $30 per share from $24 but keeps underweight (sell) rating. Industrial gas and engineering giant Linde (LIN) gets another price target boost: UBS goes to $410 per share from $375. As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB.

☆ A reading of more than 200,000 jobs added in February would be the Fed's trigger for a big March rate hike, Barclays says
▼ + stars: | 2023-03-08 | by ( Carla Mozée | ) www.businessinsider.com time to read: +4 min

The Fed will likely upsize its March rate hike if the February jobs report shows 200,00 or more jobs added, Barclays said. Investors on Tuesday quickly pushed up the odds the Fed deliver a rate hike of a half-percentage point after downsizing the pace to 25 basis points last month. The February jobs report due Friday is expected to show the world's largest economy added 203,000 jobs, with a steady unemployment rate of 3.4%. The January jobs report trounced expectations with growth of 517,000 jobs. Such moves would put the peak of the Fed's benchmark interest rate at 5.5%-5.75% assuming that after June, the Fed sees sufficient evidence that slowing in employment and wages warrant a pause in rate hikes, Barclays said.

☆ Powell leads markets on a needlessly wild ride
▼ + stars: | 2023-03-08 | by ( Ben Winck | ) www.reuters.com time to read: +4 min

That’s different from what investors expected from the Fed just two months ago. As investors’ perception of Powell takes a U-turn, upcoming economic data could make for a bumpy transition. Yet investors largely expected the central bank to raise by a little less, and start cutting later in 2023. Powell has repeatedly emphasized that the Fed’s rate decisions will rely heavily on the latest economic data. He repeated the comment to the House Financial Services Committee, adding that the Fed hasn't yet reached a decision on its next rate increase.

☆ The risk of a stock-market crash just shot up after Fed boss Powell signaled bigger rate hikes, Mohamed El-Erian says
▼ + stars: | 2023-03-08 | by ( George Glover | ) www.businessinsider.com time to read: +3 min

Fed boss Jerome Powell's latest comments boost the risk of a crash in stocks, Mohamed El-Erian has warned. The comments "could risk both economic well-being and financial stability," top economist El-Erian said. "Yet once again, remarks by Federal Reserve chair Jerome Powell fueled considerable volatility in markets that could risk both economic well-being and financial stability." But Powell's comments suggest a 50-point rise is back on the table for next month. Read more: Brace for US stocks to crash again – their extreme valuations echo the 2022 bear market, Morgan Stanley strategists warn

☆ Watch Fed Chair Jerome Powell speak live in second day of Capitol Hill testimony
▼ + stars: | 2023-03-08 | by ( Jeff Cox | ) www.cnbc.com time to read: +1 min

Please refresh the page if you do not see a player above at that time.] Federal Reserve Chairman Jerome Powell testifies Wednesday before the House Financial Services Committee in remarks that markets will be watching closely. On Tuesday, Powell told the Senate Banking Committee that the central bank could raise interest rates more aggressively if inflation data remains strong. "If the totality of the data were to indicate that faster tightening is warranted, we would be prepared to increase the pace of rate hikes," Powell said, igniting a sell-off on Wall Street in both stocks and bonds. Powell also offered commentary on the debt ceiling, cryptocurrency and other topics.

☆ BlackRock says the Federal Reserve could hike interest rates to a peak of 6%
▼ + stars: | 2023-03-08 | by ( Jihye Lee | ) www.cnbc.com time to read: +1 min

Rick Rieder, managing director and chief investment officer of fundamental fixed income for BlackRock Inc., speaks during the Institute of International Finance Annual Membership Meeting in Washington, D.C., U.S., on Friday, Oct. 11, 2013. The world's largest asset manager sees the U.S. federal funds rate peaking at 6% after Fed Chair Jerome Powell warned interest rates are likely to head higher than the central bank previously expected. "We think there's a reasonable chance that the Fed will have to bring the Fed Funds rate to 6%, and then keep it there for an extended period to slow the economy and get inflation down to near 2%," BlackRock's chief investment officer of global fixed income Rick Rieder wrote in response to Powell's testimony before the Senate Banking Committee on Tuesday. The economy is more resilient than expected, Rieder said, pointing to the most recent jobs report and consumer price index reading. "This is partly due to the fact that today's economy is no longer as interest-rate sensitive as that of past decades, and its resilience, while a virtue, does complicate matters for the Fed," he wrote in the note.

☆ Breakingviews: Powell leads markets on a needlessly wild ride
▼ + stars: | 2023-03-08 | by ( Ben Winck | ) www.reuters.com time to read: +4 min

WASHINGTON, March 8 (Reuters Breakingviews) - The market is quickly getting to grips with a new Jerome Powell. That’s different from what investors expected from the Fed just two months ago. As investors’ perception of Powell takes a U-turn, upcoming economic data could make for a bumpy transition. Yet investors largely expected the central bank to raise by a little less, and start cutting later in 2023. He repeated the comment to the House Financial Services Committee, adding that the Fed hasn't yet reached a decision on its next rate increase.

☆ Time to Get Used to Higher Rates
▼ + stars: | 2023-03-07 | by ( Justin Lahart | ) www.wsj.com time to read: 1 min

With inflation high, the job market tight and the economy chugging along, investors are coming to terms with the idea that the Federal Reserve will be setting rates higher for longer. But “longer” might mean even longer than the Fed expects. “The latest economic data have come in stronger than expected, which suggests that the ultimate level of interest rates is likely to be higher than previously anticipated,” Fed Chairman Jerome Powell told the Senate Banking Committee on Tuesday. That suggests not only that when it meets later this month, the Fed’s rate-setting committee will raise its target range on overnight interest rates once again, and perhaps by a half a percentage point if economic data over the next couple of weeks runs hot, but also that it may raise its assessment of how high it will lift rates over the course of the year.

March 8 (Reuters) - A look at the day ahead in Asian markets from Jamie McGeever. Given all that, it is maybe surprising that Wall Street's three main indexes 'only' fell between 1% and 1.5%. The RBA raised rates by 25 bps as expected on Tuesday to 3.60%, the highest in more than a decade. But its dovish outlook caught markets flat-footed, and the Australian dollar plunged 2%. Trade activity fell in February, reflecting weak global and domestic demand, but trade with Russia boomed.

☆ Wall St ends sharply lower, Treasury yield inversion widens after Powell remarks
▼ + stars: | 2023-03-07 | by ( Stephen Culp | ) www.reuters.com time to read: +4 min

"It's a pretty classic risk-off day," said Ross Mayfield, investment strategy analyst at Baird in Louisville, Kentucky. MSCI's broadest index of Asia-Pacific shares outside Japan (.MIAPJ0000PUS) closed 0.81% lower, while Japan's Nikkei (.N225) rose 0.25%. Benchmark Treasury yields dipped after Powell's remarks, and the inversion between 2-year and 10-year Treasury yields, a harbinger of potential recession, steepened. Benchmark 10-year notes last rose 4/32 in price to yield 3.9696%, from 3.983% late on Monday. The 30-year bond last rose 18/32 in price to yield 3.8794%, from 3.912% late on Monday.

☆ Wall Street slides, Treasury yield inversion widens after Powell remarks
▼ + stars: | 2023-03-07 | by ( Stephen Culp | ) www.reuters.com time to read: +4 min

REUTERS/Andrew Kelly/File PhotoNEW YORK, March 7 (Reuters) - Wall Street stocks plunged, the greenback surged and Treasury yields dipped on Tuesday as Federal Reserve Chairman Jerome Powell concluded the first day of his semi-annual, two-day monetary policy testimonial before Congress. In a broadly risk-off session, the dollar gained strength and inversion between short- and long-dated Treasury yields touched their widest since 1981 as the testimony reaffirmed the Fed's determination to bring inflation down to its 2% target rate. European shares extended their losses after Powell's prepared remarks fueled rate hike worries. Benchmark Treasury yields dipped after Powell's remarks, and the inversion between 2-year and 10-year Treasury yields, a harbinger of potential recession, hit its steepest differential in over four decades. Benchmark 10-year notes last rose 2/32 in price to yield 3.9754%, from 3.983% late on Monday.

"If the totality of the data were to indicate that faster tightening is warranted, we would be prepared to increase the pace of rate hikes," Powell said. Republicans focused on whether energy policy was restricting supply and keeping prices higher than needed, and whether restrained federal spending could help the Fed's cause. As of December, officials saw that rate rising to a peak of around 5.1%, a level investors expect may move at least half a percentage point higher now. With a 50-basis-point rate hike now in play, Brown said a strong monthly jobs report on Friday would likely lead to "calls for a 6% terminal rate," nearly a percentage point higher than Fed officials had projected as of December. How much remains unclear, but Powell said the focus will remain more squarely on how inflation behaves.

☆ Odds of 50-basis-point Fed rate hike rise after Powell testimony
▼ + stars: | 2023-03-07 | by ( ) www.reuters.com time to read: +2 min

March 7 (Reuters) - Traders of futures tied to the Federal Reserve's policy rate were pricing in a half-percentage-point hike in interest rates at the U.S. central bank's March 21-22 policy meeting after Fed Chair Jerome Powell said on Tuesday that continued strong inflation data could require tougher measures. That was up from the 30% chance seen before Powell's testimony before the Senate Banking Committee. Futures briefly showed more than a 50% chance of a 50-basis-point (bp) hike immediately after Powell's remarks. The futures contracts pricing also points to firming expectations for the policy rate to rise to a 5.25%-5.50% range by June. Powell's testimony on Tuesday marked a stark acknowledgement that a "disinflationary process" he spoke of repeatedly in a Feb. 1 news conference may not be so smooth.

☆ Wall Street drops, Treasury yields gyrate on Fed Chairman Powell's remarks
▼ + stars: | 2023-03-07 | by ( Stephen Culp | ) www.reuters.com time to read: +3 min

REUTERS/Toby MelvilleNEW YORK, March 7 (Reuters) - U.S. stocks retreated and benchmark Treasury yields wavered on Tuesday as Federal Reserve Chairman Jerome Powell commenced his semi-annual, two-day monetary policy testimony before Congress. All three major U.S. stock indexes were languid in early trading before Powell's prepared remarks were released as he sat down to testify before the Senate Banking Committee. "(Powell is) stating the obvious - inflation is stubbornly high," said Tim Ghriskey, senior portfolio strategist at Ingalls & Snyder in New York. Emerging market stocks lost 0.65%. Benchmark Treasury yields initially headed higher after Powell's remarks were released but eased as his testimony began in earnest.

"If the totality of the data were to indicate that faster tightening is warranted, we would be prepared to increase the pace of rate hikes," Powell said. The Fed's benchmark overnight interest rate is currently in the 4.50%-4.75% range. Senator Sherrod Brown, the Democratic chair of the committee, said the Fed's rate hikes ignored what he viewed as a chief cause of inflation - high corporate profits. "To restore price stability, we will need to see lower inflation in this sector, and there will very likely be some softening in labor market conditions," Powell said. Powell's last monetary policy report to Congress was in June, which was early in what became the most aggressive cycle of Fed rate increases since the 1980s.

☆ Hawkish Powell puts 50 bp Fed rate hikes back on table
▼ + stars: | 2023-03-07 | by ( ) www.reuters.com time to read: +6 min

"Powell makes it clear the Fed would react accordingly if the data suggests that inflation continues to move in the wrong direction. It was very clear to the market that the Fed is not going to equivocate in terms of data that suggests inflation continues to climb higher or remain sticky." "Six percent (terminal rate) would be a little higher than it is likely. ROBERT PAVLIK, SENIOR PORTFOLIO MANAGER, DAKOTA WEALTH, FAIRFIELD, CONNECTICUT"The focus of the Fed is trying to get inflation down to 2%. "I prefer just one more 25 basis point rate hike, but probably we're going to get three 25 basis point rate hikes."

ET (1500 GMT), with investors awaiting his comments on the Fed's steps aimed at bringing inflation towards its 2% target. Rising bond yields tend to weigh on equity valuations, particularly those of growth and technology stocks, as higher rates reduce the value of future cash flows. ET, Dow e-minis were up 25 points, or 0.07%, S&P 500 e-minis were up 6.25 points, or 0.15%, and Nasdaq 100 e-minis were up 32.5 points, or 0.26%. Dick's Sporting Goods (DKS.N) rose 6.1% after the retailer forecast annual earnings above Wall Street estimates and more than doubled its quarterly dividend. Reporting by Sruthi Shankar and Bansari Mayur Kamdar in Bengaluru Editing by Vinay DwivediOur Standards: The Thomson Reuters Trust Principles.

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