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U.S. Federal Reserve officials are puzzling over why bond borrowing rates spiked lately even as Fed policy expectations have remained largely unchanged. Whether a resurfacing "term premium'" now demanded to buy and hold longer-term bonds, is responsible is central to the conundrum. Britain's brief budget and debt shock late last year and the way the Bank of England was forced to react was perhaps a taster. "Once current debt has been refinanced and the average interest on debt reflects the higher long rates, absent changes in policy, debt ratios will increase," Blanchard wrote. The opinions expressed here are those of the author, a columnist for Reutersby Mike Dolan Editing by Marguerita ChoyOur Standards: The Thomson Reuters Trust Principles.
Persons: Marcos Brindicci, Olivier Blanchard, Washington's, Blanchard, it's, Morgan Stanley, Mike Dolan, Marguerita Choy Organizations: REUTERS, . Federal Reserve, Bank of England, International Monetary Fund, Washington's Peterson Institute for International Economics, U.S, Congressional, Reuters, Thomson Locations: Buenos Aires, Argentina, United States, Europe
ICBC's U.S. unit told market participants on Friday it was hoping to finish the cyber review over the weekend, but the sources said they expected it would spill into next week. The cyberattack sent ripples through the U.S. Treasuries market, where ICBC acts as a broker for hedge funds and other market participants, helping them trade in the securities. The Chinese parent then injected capital into the U.S. unit, allowing it to settle the trades and pay back BNY Mellon, the sources said. They also told market participants about the capital injection but did not disclose the amount or the reason for it, the sources said. SIFMA, the trade group, organized calls for market participants with updates, the sources said.
Persons: Tingshu Wang, BNY Mellon, ransomware, ICBC, SIFMA, Janet Yellen, Lifeng, Scott Skyrm, Jack McIntyre, Harry Robertson, James Pearson, Naomi Rovinick, Yoruk, Davide Barbuscia, Chris Prentice, Mike Derby, Carolina Mandl, Laura Matthews, Paritosh, Zeba, Megan Davies, Dhara Ranasinghe, Alexander Smith, Richard Chang, Anna Driver Organizations: Asset Management, Fair for Trade, Services, REUTERS, Commercial Bank of China, U.S ., ICBC Financial Services, Securities Industry, Financial Markets Association, ICBC, Treasury, China, U.S, New York Federal Reserve, Securities, Depository Trust, Clearing Corp, Thomson Locations: Beijing, China, ICBC's U.S, U.S, San Francisco, Treasuries, Hong Kong, Shanghai, London, Amsterdam, Carolina, New York
Morning Bid: Powell pushback puts cloud 9 beyond reach
  + stars: | 2023-11-10 | by ( ) www.reuters.com   time to read: +5 min
Federal Reserve Board Chairman Jerome Powell answers a question during a press conference following a closed two-day meeting of the Federal Open Market Committee on interest rate policy at the Federal Reserve in Washington, U.S., November 1, 2023. Curiously, there was little change in that basic market pricing after Powell spoke - with end-2024 futures still pointing at a rate of 4.50-4.75% versus the current 5.25-5.50%. But the Treasury market did suffer a bigger jolt - as they were also undermined by poor demand at the latest long bond auction. But others pointed to a ransomware attack on the U.S. arm of The Industrial and Commercial Bank of China, which reportedly disrupted trades in the Treasury market on Thursday. Whatever the main cause, fresh bond market jitters were enough to knock the S&P500 out of its winning streak and close almost 1% lower.
Persons: Jerome Powell, Kevin Lamarque, Mike Dolan, Jerome Powell's pushback, Powell's, Powell, 5bps, Sterling, Janet Yellen, Lorie Logan, Raphael Bostic, Christine Lagarde, Joachim Nagel, Elaine Hardcastle Organizations: Federal, Committee, Federal Reserve, REUTERS, Veterans, Commercial Bank of China, Treasury, University of Michigan, Dallas Federal, Atlanta Fed, European Central Bank, Financial Affairs, Reuters, Thomson Locations: Washington , U.S, U.S, United States, HK, Washington, Beijing, Atlanta
U.S. Federal Reserve officials are puzzling over why bond borrowing rates spiked lately even as Fed policy expectations have remained largely unchanged. Whether a resurfacing "term premium'" now demanded to buy and hold longer-term bonds, is responsible is central to the conundrum. Britain's brief budget and debt shock late last year and the way the Bank of England was forced to react was perhaps a taster. "Once current debt has been refinanced and the average interest on debt reflects the higher long rates, absent changes in policy, debt ratios will increase," Blanchard wrote. US debt costs soarRates minus Growth hits budget mathCBO's long-term debt projectionsDYSFUNCTION AND EXPLOSIONThere were tinges of optimism though.
Persons: Marcos Brindicci, Olivier Blanchard, Washington's, Blanchard, it's, Morgan Stanley, Mike Dolan, Marguerita Choy Organizations: REUTERS, . Federal Reserve, Bank of England, International Monetary Fund, Washington's Peterson Institute for International Economics, U.S, Congressional, Reuters, Thomson Locations: Buenos Aires, Argentina, United States, Europe
Morning Bid: Oil and bond yields try to find toehold
  + stars: | 2023-11-09 | by ( ) www.reuters.com   time to read: +4 min
The Wall Street sign is pictured at the New York Stock exchange (NYSE) in the Manhattan borough of New York City, New York, U.S., March 9, 2020. The supply picture for U.S. crude, which is now down more than 20% from late September's peaks, has also weighed on energy prices. Crude inventories increased by 11.9 million barrels over the week to Nov. 3, sources said, citing American Petroleum Institute figures. With senior Fed officials on Wednesday side-stepping guidance on the central bank's next policy steps, attention focuses squarely on Powell's latest speech. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.
Persons: Carlo Allegri, Mike Dolan, Jerome Powell's, Powell, Jerome Powell, Thomas Barkin, Raphael Bostic, Kathleen O'Neill Paese, Christine Lagarde, Janet Yellen, Becton Dickinson, Emelia Sithole Organizations: New York Stock, REUTERS, Federal, American Petroleum Institute, Walt Disney, ABC, Warner Bros Discovery, Richmond Fed, Atlanta Fed, Louis Interim, European Central Bank, . Treasury, News Corp, Wynn Resorts, U.S, Treasury, Thomson, Reuters Locations: Manhattan, New York City , New York, U.S, Europe, Shanghai, Hong Kong, Washington, St, Brussels, Mettler, Toledo, TransDigm
JUNEAU, Alaska (AP) — A federal judge on Thursday upheld the Biden administration’s approval of the Willow oil-drilling project on Alaska’s remote North Slope, a massive project that drew the ire of environmentalists who had accused the president of backpedaling on his pledge to combat climate change. She added that the alternatives analyzed by the U.S. Bureau of Land Management as part of its review were consistent with the policy objectives of the petroleum reserve and the stated purpose and need of the Willow project. The administration's action alienated and outraged some supporters, particularly young activists who launched a TikTok campaign to oppose the project ahead of its approval in March. Connor Dunn, vice president of the Willow project for ConocoPhillips Alaska, said in court documents that it was “highly unlikely” that Willow would proceed if the administration’s approval were to be vacated. Many Alaska Native leaders on the North Slope and groups with ties to the region have argued that Willow is economically vital for their communities.
Persons: backpedaling, Sharon Gleason, ” Gleason, Erik Grafe, Earthjustice, ” Bridget Psarianos, Inupiat, ” Psarianos, Joe Biden’s, Deb Haaland, Connor Dunn, Dunn, Gleason, Rebecca Boys, Willow, Trump, Biden, greenlight, Mike Dunleavy, , , Nagruk Harcharek Organizations: , Biden, National Petroleum Reserve, U.S . Bureau of Land Management, ConocoPhillips, Land Management, Gleason ., Alaska, Republican Gov Locations: JUNEAU, Alaska, North, Willow, ConocoPhillips Alaska,
Ohio just legalized cannabis. Now comes the hard part
  + stars: | 2023-11-09 | by ( Alicia Wallace | ) edition.cnn.com   time to read: +9 min
Ohio voters’ approval of a legalization measure on Tuesday comes just months after cannabis saw some of its most significant movements at the federal level. “I honestly think it will have massive reverberating effects on what Congress has to do about this.”More than two-thirds of US states have legalized cannabis in some capacity: 38 states have approved comprehensive medical cannabis programs, and Ohio brings the recreational total to 24 states. Joshua A. Bickel/APExisting medical cannabis dispensaries will have the opportunity to be grandfathered in and have first crack at licenses, but municipalities can decide whether to allow sales. “In 2018, Michigan fully legalized cannabis, set a relatively low tax rate and my perception is it’s been a fairly successful industry there.”Michigan’s cannabis sales hit a record $276 million in July, a time when industry members there and beyond have struggled. Marijuana buds ready for harvest rest on a plant at AT-CPC of Ohio, Monday, Jan. 28, 2019, in Akron, Ohio.
Persons: Andrew Freedman, , “ It’s, ” Freedman, , pollster Gallup, , Nick Lachey, Joshua A . Bickel, Mike DeWine, Freedman, Douglas Berman, ” Berman, It’s, Irina Dashevsky, Marder, Tony Dejak, Dashevsky, we’ve, hasn’t, Ariane Kirkpatrick, Amonica Davis, ” Kirkpatrick Organizations: Minneapolis CNN, Buckeye, US Department of Health, Human Services, Forbes Tate, Coalition for Cannabis Policy, CNN, Republican, Drug Enforcement, Center, The Ohio State University’s Moritz College of Law, Industry, Buckeyes, CPC, Ohio, AP Companies, Enforcement Locations: Minneapolis, Minneapolis CNN — Ohio, Ohio, As Ohio, Missouri, Cincinnati, Michigan, Akron , Ohio, United States
OHIO ABORTION RIGHTSOhioans voted to enshrine abortion rights in the state constitution, Edison Research projected, which will render moot a six-week abortion limit signed into law by Republican Governor Mike DeWine. The ban is currently on hold pending litigation at the conservative state Supreme Court. The success of Ohio's ballot measure initiative, which put the question of abortion rights to voters directly, adds to a string of ballot measure victories for abortion rights supporters since the Supreme Court overturned Roe v. Wade. PENNSYLVANIA SUPREME COURTThe race for a new state Supreme Court justice will not alter the liberal tilt of Pennsylvania's highest court but could have future implications for abortion rights and election laws in the state. Democrats have a 4-2 majority in the partisan state court, with one vacant seat to be filled in this election.
Persons: Andy Beshear, Jon Cherry, Daniel Cameron, Republican Donald Trump, Beshear, Tate Reeves, Democrat Brandon Presley, Reeves, Presley, Elvis Presley, Roe, Wade, Glenn Youngkin, Mike DeWine, Cherelle Parker, Republican David Oh, Jim Kenney, Sheila Jackson Lee, John Whitmire, Sylvester Turner, Daniel McCaffery, Carolyn Carluccio, Gabriella Borter, Colleen Jenkins, Lincoln Organizations: Democratic, Capitol, REUTERS, Republicans, KENTUCKY, Edison Research, Republican, MISSISSIPPI GOVERNOR Republican, Democrat, Democratic Governors Association, NEW, General, U.S, PENNSYLVANIA, New York Times, Democrats, Thomson Locations: Frankfort , Kentucky, U.S, Kentucky, Mississippi, Virginia, New Jersey, Ohio, COVID, MISSISSIPPI, Northern Mississippi, Southern, VIRGINIA, Virginia's Senate, U.S ., NEW JERSEY, Democratic New Jersey, OHIO, Philadelphia, Houston
REUTERS/Dado Ruvic/Illustration/File Photo Acquire Licensing RightsLONDON, Nov 8 (Reuters) - If the notorious 'term premium' is evaporating again, then last month's bond rout may just have been a nightmare. "If that's coming from term premium and it's tightening, then we have got to take that into account." As Summers estimated this week, a term premium just back at 60-year averages would put it at 150bps - 130bps above current levels. Morgan Stanley estimates an additional near $1 trillion in gross debt sales from G7 governments are coming down the pike next year. Morgan Stanley chart on G7 debt sales in 2024Reuters GraphicsThe opinions expressed here are those of the author, a columnist for Reuters.
Persons: Dado Ruvic, Christopher Waller, Larry Summers, selloff, York Fed's, Jerome Powell, Austan Goolsbee, Lisa Cook, Summers, Morgan Stanley, Mike Dolan, Josie Kao Organizations: REUTERS, Federal Reserve, Treasury, Fed, ., The, NY, Reuters Graphics Reuters, Reuters, Chicago Fed, Congress, Thomson Locations: York, midyear, 150bps
Ohions just voted to enshrine abortion rights into the state's constitution. JD Vance, Ohio's GOP senator, says his party needs to recognize people don't trust them on abortion. AdvertisementAdvertisementRepublican Sen. JD Vance of Ohio has some tough advice for his own party after his state voted to enshrine abortion rights into the state constitution. "We have to recognize how much voters mistrust us (meaning elected Republicans) on this issue," Vance wrote on X, formerly known as Twitter. Currently in Ohio, abortion is banned after 22 weeks.
Persons: Ohions, JD Vance, , Republican Sen, Vance, Mike DeWine, Roe, Wade Organizations: Ohio's GOP, Service, Republican, Republican Gov, Ohio GOP, Republicans Locations: Ohio's, Ohio
Morning Bid: Oil-fueled rally turns to Powell
  + stars: | 2023-11-08 | by ( ) www.reuters.com   time to read: +5 min
[1/2] Federal Reserve Board Chairman Jerome Powell answers a question during a press conference following a closed two-day meeting of the Federal Open Market Committee on interest rate policy at the Federal Reserve in Washington, U.S., November 1, 2023. And that's hit home by dragging U.S. pump prices down to levels not seen since March. Overall, U.S. 10-year yields remained on the back foot at 4.57% first thing and ahead of Wednesday's auction. Although Asian and European stocks fell back a bit, Wall St stock futures were unchanged before the bell. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.
Persons: Jerome Powell, Kevin Lamarque, Mike Dolan, who's, Christine Lagarde, Andrew Bailey, Michelle Bowman, Austan Goolsbee, Christopher Waller, BoE, Ping, Donald Trump, White, Philip Jefferson, Michael Barr, Lisa Cook, John Williams, Joachim Nagel, Walt Disney, Ralph Lauren, Toby Chopra Organizations: Federal Reserve, Federal, Committee, REUTERS, Mike Dolan Wall, European Central Bank, Bank of England, Atlanta, Fed, Chicago Fed, St, Reuters, Ping An Insurance, HK, New York Fed, Warner Bros Discovery, MGM Resorts, Biogen, Energy, Treasury, Federal Reserve Bank of New, Thomson Locations: Washington , U.S, U.S, Gaza, Tokyo, Ohio, Kentucky, Brussels, Federal Reserve Bank of New York
Morning Bid: Some payback, but bonds hug gains on oil
  + stars: | 2023-11-07 | by ( ) www.reuters.com   time to read: +5 min
The oil price slide was helped by signs from Israel that it's open to pauses in the Gaza fighting. The typically hawkish Minneapolis Fed boss Neel Kashkari insisted it was still too early to take another rate hike off the table. Elsewhere, the Reserve Bank of Australia raised its policy interest rate again, as expected, by another quarter point to a 12-year high of 4.35%. Overall, the global stocks picture reflected some of the cooling of last week's rally and some of the China export numbers. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.
Persons: Lucas Jackson, Mike Dolan, that's, Neel Kashkari, Christopher Waller, Michael Barr, John Williams, Lorie Logan, Jeffrey Schmid, Zimmer, Jack Henry, Akamai, Christina Fincher Organizations: New York Stock Exchange, REUTERS, Federal Reserve, Treasury, Minneapolis Fed, International Monetary Fund, Reserve Bank of Australia, Asia bourses, UBS, Credit Suisse, Federal Reserve Bank of New, Michael Barr , New York Fed, Dallas Fed, Horton, Mosaic, Emerson Electric, Occidental, Devon Energy, Products, Chemicals, Gen, Fidelity, Reuters, Reuters Graphics, Thomson Locations: New York, U.S, Israel, Gaza, China, Asia, Japan, Hong Kong, Swiss, Canada, Federal Reserve Bank of New York, Michael Barr ,, Lorie Logan , Kansas, eBay, Gilead, Occidental Petroleum
A recent jury verdict against the National Association of Realtors and large residential brokerages could upend the residential real estate industry. Here's what real estate agents, homebuyers and sellers need to know about potential changes in residential real estate economics. A bad time for bad news in real estateThe jury verdict comes at a time when many real estate agents are already feeling a pinch. At a time when home sales are already under pressure, "this lawsuit is just another punch in the gut for real estate franchises," said Bill Gross, a self-employed real estate broker associate in California with eXp Realty. Lawsuits focused on fees reinforce the general trend of trying to lower fees in the real estate market, Schipani said.
Persons: Max, Mike DelPrete, Bill Gross, there's, Keefe, Ryan Tomasello, Gilbert J, Schipani, we've, Glenn Kelman Organizations: National Association of Realtors, NAR, realtors, Max Holdings, Federal, University of Colorado Boulder, eXp Realty, Tempus Fugit, Compass Locations: Missouri, Kansas City, St, Louis, Springfield, Columbia, U.S, California
Abortion rights supporters won an Ohio ballot measure and the Democratic governor of beet-red Kentucky held onto his office by campaigning on reproductive rights and painting his opponent as extremist on abortion. In both states, abortion was the main issue. In Ohio, a ballot measure preserving abortion rights passed in a state that Trump won by eight percentage points in 2020. Abortion rights measures have passed in a plethora of states as some other Republican-run states have instituted new bans on the procedure. Abortion rights may not be a potent enough issue to swing an election on its own.
Persons: — Joe Biden, Donald Trump —, Andy Beshear, Trump, Beshear, Daniel Cameron, Mike DeWine, Ron DeSantis, Greg Abbott, Beshear’s, Biden, Glenn Youngkin, Gabe Amo, Amo, David Cicilline, Republican Gerry Leonard, Cherelle Parker, Republican David Oh Organizations: WASHINGTON, Democratic, Trump, Republican, Republicans, Ohio voters, U.S, Supreme, Virginia statehouse, GOP, Biden, Biden White, Marine Locations: Ohio, Kentucky, Texas, Washington, Virginia, Rhode, Philadelphia
Glenn Youngkin isn’t on the ballot this year, but his push for a new conservative direction for the Republican Party is. The discipline extended beyond the 10 candidates Youngkin endorsed in competitive primaries, so as to keep distractions at bay. Virginia Democrats, who would normally use such a post to put the entire GOP in an awkward position, did not apparently even notice. Still, there isn’t a lot of evidence that the Virginia Democratic Party sees Youngkin as any sort of liability for the GOP — he isn’t featured negatively in any of their ads, for example. “What we have found out over the last two years is that that vest-wearing, affable, basketball playing dad is really a MAGA Extremist,” said Virginia Democratic Party Chair Susan Swecker.
Persons: Glenn Youngkin isn’t, MAGA, He’s, Youngkin –, aren’t, that’s, Donald Trump, , , Youngkin, “ I’ve, Joe Biden, ” Youngkin, ABC’s George Stephanopoulos, Youngkin’s, Mark J, Rozell, Roe, Wade, ” Rozell, Taylor Keeney, Bob McDonnell, Thomas Peterffy, Sen, Siobhan Dunnavant, Dunnavant, Del, Tara Durant, Matt Strickland, Emily Brewer, Hermie Sadler, Durant, Juan Pablo Segura, Jason Ballard, John McGuire, Bryce Reeves, Bill Woolf, Buddy Fowler, John, Lee Peters, Mike Dillender, McGuire, Reeves, Ballard, Daniel Squadron, Tim Kaine, Mark Warner, he’s, Susan Swecker Organizations: CNN, Virginia Gov, Republican Party, Democratic, Democrat, Republican, GOP, Privately, Trump, Commonwealth, Virginia Democrats, Schar School of Policy, Government, George Mason University . Virginia, Republican Gov, PAC, OB, Covid, NASCAR, Heritage Festival, Heritage Indian, The States, States Project, Democratic National Committee, Democrats, Republicans, Virginia Democratic Party, Virginia Democratic Locations: Virginia, Fredericksburg, , Richmond, Chantilly, Sens
What to watch on Election Day
  + stars: | 2023-11-07 | by ( Gregory Krieg | Arit John | Daniel Strauss | ) edition.cnn.com   time to read: +10 min
CNN —Abortion rights are on the ballot Tuesday as Americans head to the polls for state and local races that will set the stage for next year’s presidential election. (Both oppose abortion rights.) Abortion (literally) on the ballot in OhioThe 2022 midterm elections showed that when abortion rights are on the ballot, voters overwhelmingly favored protecting or expanding access. This is the only abortion rights ballot initiative before voters this year. Though not explicitly on the ballot, abortion has featured prominently in the campaign, with Beshear arguing that Cameron will double down on the commonwealth’s already harsh restrictions.
Persons: Roe, Wade, Tate Reeves, Democrat Brandon Presley, Reeves ’ foibles, Elvis Presley, , Former City Councilmember Cherelle Parker, Sheila Jackson Lee, Sen, John Whitmire, Gabe Amo, Republican Gerry Leonard, David Cicilline, Glenn Youngkin, Youngkin, He’s, he’s, what’s, don’t, hasn’t, Court’s Dobbs, Mike DeWine, , Andy Beshear, Daniel Cameron, Beshear, Cameron, John Fetterman, Mehmet Oz, Daniel McCaffery, Max Baer, Carolyn Carluccio, Brett Favre, Brandon Presley, Presley, Reeves Organizations: CNN, Democrats, Republicans, Court, Democrat, Republican Gov, Former City, Republican, Democratic, Rep, House, Virginia Gov, Senate, Delegates, PAC, Kentucky, Kentucky Kentucky Gov, GOP, Trump, Beshear, Black Republican, Pennsylvania Democrats, NFL, Mississippi Public, Black, Southern Democrats, Southern Democrat, NJ Democrats, New York GOP, New Jersey Legislature, New York City Council Locations: Kentucky , Pennsylvania, Virginia, Ohio, Ohio –, Mississippi, Pennsylvania, New Jersey, New York, Philadelphia, Houston, Rhode Island, state’s, Richmond, Kentucky Kentucky, Kentucky, Southern, Presley . Mississippi, NY, Gotham
Ohio Votes to Guarantee Abortion Rights
  + stars: | 2023-11-07 | by ( Susan Milligan | Nov. | At P.M. | ) www.usnews.com   time to read: +7 min
Ohio voters overwhelmingly approved a state constitutional amendment guaranteeing abortion rights, delivering a landslide-sized message Tuesday night to politicians that the near-total ban GOP lawmakers support is unacceptable to the voting public. President Joe Biden, who has made abortion rights a central theme of his struggling 2024 reelection effort, praised the vote. Nebraska's proposed referendum would ban abortion, while the remaining states are considering initiatives to protect reproductive rights. Advocates believe the abortion rights referendum was a driver of that vote. Broken down, that includes 46% of Democrats, 23% of independents and 20% of Republicans, suggesting Democrats are more likely to make abortion rights a defining factor in their votes.
Persons: Dobbs, Mike DeWine, ” DeWine, Joe Biden, ” Biden, Nebraska's, Biden, Donald Trump, Angela Vasquez, Giroux, Vasquez, Jim Jordan, Dave Yost, Gerson Fuentes, Jordan, Yost, Organizations: NBC, Buckeye State, Jackson Women's Health, Republicans, Democrats, Ohio’s Republican Gov, CNN, The New York Times, Siena College, GOP, Democratic, Tufts University's Center for Information, Research, Civic, KFF, Ohio Republican Locations: Ohio, Buckeye, Dobbs, America, Ohio –, California , Kansas , Kentucky, Montana , Michigan, Vermont, Maryland, New York, Arizona , Florida , Nebraska , Nevada, South Dakota, Arizona, Nevada, Michigan, Indiana, . Ohio
Morning Bid: Rates buzz sustained before Fed loan data
  + stars: | 2023-11-06 | by ( ) www.reuters.com   time to read: +5 min
A street sign for Wall Street is seen in the financial district in New York, U.S., November 8, 2021. Ten-year U.S. Treasury yields have fallen about 50bps from October's peaks and the drop last week was the biggest recoil since March. For now, S&P500 futures are pointing to further slight gains on Monday - which if realized on the cash market later would make for the sixth straight gain and the longest daily run since June. Undermined by the retreat in Treasury yields, the dollar (.DXY) slipped back to the lowest since Sept 20. The backdrop of an easier dollar and Treasury yields provides significant relief for emerging markets, with MSCI's emerging market stock index (.MSCIEF) hitting its highest since Sept 20 too.
Persons: Brendan McDermid, Mike Dolan, Jerome Powell, underscoring, Janet Yellen, Lisa Cook, Huw Pill, Bernadette Organizations: Wall, REUTERS, Federal Reserve, Treasury, U.S, Pacific Rim, South, Ryanair, Europe's, Goodyear Tire &, Aspen, Conterra Energy, Constellation Energy, Diamondback Energy, Vertex Pharmaceuticals, NXP Semiconductors, Bank of England, Reuters, Reuters Graphics Reuters, Thomson Locations: New York, U.S, Gaza, China, Western, San Francisco, South Korean, Asia, Europe, Telesat
A general view of the Bank of England in the City of London, Britain, September 25, 2023. In making that call the BoE report focuses mostly on consumption, which it estimates makes up about 60% of GDP. As a result, the BoE expects the fallout from rate moves to date to "grow over time" even if one-off quarterly hits have peaked. And whatever the slow-burning hit to growth and consumption, inflation surprises could well change the increasingly comfortable markets picture. BOE chart on GDP outlookBOE chart on consumption hit from rate risesReuters Graphics Reuters GraphicsThe opinions expressed here are those of the author, a columnist for Reutersby Mike Dolan X: @reutersMikeD; editing by David EvansOur Standards: The Thomson Reuters Trust Principles.
Persons: Hollie Adams, Huw Pill, what's, BoE, Modupe Adegbembo, Andy Burgess, BOE, Mike Dolan, David Evans Organizations: Bank of England, City of, REUTERS, Bank, Reuters, AXA Investment Managers, Thomson Locations: City, City of London, Britain, British
Mike DeWine of Ohio set out to overhaul reading instruction in his state this year, it seemed like another sign that the decades-long debate over how to teach reading had come to a tipping point. Ohio joined the growing list of states that require schools to follow the “science of reading” — an approach that emphasizes systematic, sound-it-out instruction, known as phonics, and the direct teaching of other skills, like vocabulary. The movement, fueled by longstanding research, has sought to oust “balanced literacy,” which is meant to give teachers flexibility to meet students’ needs while promoting a love of reading. It may include some phonics, but also other strategies, like prompting students to use context clues — like pictures — to discern words. “The weight of the evidence is clear,” Mr. DeWine said in an interview this week.
Persons: Mike DeWine, , , Mr, DeWine Organizations: Ohio Locations: Ohio
Morning Bid: Stocks clocking best week of the year
  + stars: | 2023-11-03 | by ( ) www.reuters.com   time to read: +5 min
Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., October 27, 2023. The U.S. October employment report out later on Friday caps a hectic two weeks of central bank decisions, company updates and unnerving geopolitics. As the first major marker of U.S. economic strength in the final quarter of the year, the payrolls report packs a punch despite expected strike-related distortions. The interest rate relief this week is pervasive, however, as the Fed, ECB and BoE all paused tightening and U.S. Treasury debt sales worries ebbed somewhat. U.S. Treasury (.MOVE) and equity market (.BIX) volatility gauges have subsided to their lowest levels since early last month.
Persons: Brendan McDermid, Mike Dolan, BoE, ebbed, Antony Blinken, Sam Bankman, Fried, Michael Barr, Neel Kashkari, Huw Pill, Emelia Sithole Organizations: New York Stock Exchange, REUTERS, Mike, U.S, Federal Reserve, European Central Bank and Bank of England, Apple, Fed, ECB, Treasury, U.S . Treasury, Labor Department, Eversource Energy, Cardinal Health, Dominion Energy, Gartner, Church, Dwight, AMC, Liberty Media, Icahn Enterprises, Federal, Bank of England, Israel Productivity, Reuters Graphics Reuters, Reuters, Thomson Locations: New York City, U.S, Isreal, Gaza, Gaza City, Canada, Minneapolis, Israel
But by building a program with "guardrails," a new legal tech company is working to bring all of the benefits of artificial intelligence to companies' in-house legal teams without the risks. Based in Chicago, Responsiv is an AI assistant for in-house legal teams. With Responsiv, in-house counsel can quickly get answers to legal questions that are easily verifiable, saving companies time and money. "There's a noticeable gap in innovation tailored specifically to in-house legal teams," Domash said. Funding for legal tech has fallen in 2023, according to Crunchbase, but many startups in the space focus on law firms.
Persons: ChatGPT, Mike Duboe, Nikita Solilov, Jordan Domash, Jordan, Nikita, Duboe, Domash, Responsiv, We'll, Darrow Organizations: Greylock Partners Locations: Chicago, Silver, Greylock
COLUMBUS, Ohio (AP) — Abortion access is expected to play a central role in the 2024 elections. The preview comes next week, when Ohio voters decide whether to enshrine reproductive rights in their state Constitution. They question whether state lawmakers could pass any abortion restrictions at all that would pass constitutional muster if voters approve the amendment. AP VoteCast polling last year found that 59% of Ohio voters say abortion should generally be legal. “Ohio voters really know what's at stake here, because they've seen the incredible lengths that the Ohio government will go to to interfere in people's lives,” McGuire said.
Persons: Timmaraju, , Wade, Kelsey Pritchard, , Frank LaRose, Dave Yost, Mike DeWine, DeWine, enshrine Roe, Carolyn Ehrlich, Christian Virtue, Megan Wold, Peter Range, Kimberly Inez McGuire, Ohio's, Roe, McGuire, they've, ” McGuire, ” ___ Fernando Organizations: Ohio, U.S, Supreme, SBA, Republican, GOP, Republicans, Ohio Senate, Ohio Catholic Conference, Protect, First Congregational Church, ACLU, Center, Christian, Christian Virtue and, Protect Women, AP, Life, Ohio Statehouse, Ohioans United, Reproductive, Ohio Association of Election, , Associated Press Locations: COLUMBUS , Ohio, Ohio, Arizona , Nevada, Pennsylvania, — California , Kansas , Kentucky, Michigan, Montana, Vermont, lockstep, Protect Women Ohio, Columbus, The Ohio, Christian Virtue and Ohio, U.S, Republican Kansas, “ Ohio, Chicago
Morning Bid: Fed, financing and jobs greet November
  + stars: | 2023-11-01 | by ( ) www.reuters.com   time to read: +6 min
Despite the U.S. Treasury forecasting a lower fourth-quarter borrowing need than previously flagged, the tension in the bond market remains ahead of its detailed future refinancing plans due later on Wednesday. With the Federal Reserve widely expected to hold policy rates steady again on Wednesday, the Treasury plans may end up getting more bond market attention. But U.S. consumer confidence has softened, oil prices are falling again and the overseas demand picture is weakening. Another heavy day of U.S. corporate earnings is topped by big insurers and the likes of PayPal and Kraft Heinz. On Tuesday, shares in heavy-machinery maker Caterpillar (CAT.N) sank almost 7% as signs of slowing demand overshadowed a quarterly earnings beat.
Persons: Mike Dolan, Masato Kanda, it's, Japan's, China Evergrande, Joe Biden, Xi Jinping, Kraft Heinz, Estee Lauder, Kraft, Ingersoll Rand, Nick Macfie Organizations: Wednesday's, Bank of Japan, Japan's Nikkei, Japan, U.S, U.S . Treasury, Federal Reserve, Treasury, HK, White House, Asia Pacific Economic Cooperation, Wall, PayPal, Kraft, Caterpillar, Edison, AIG, Prudential Financial, MetLife, Qualcomm, Mckesson, Kraft Heinz, Allstate, Congnizant, Boston Properties, Water, Garmin, CVS, Brands, Humana, Reuters Graphics Reuters, US National Retail Federation, Thomson, Reuters Locations: U.S, United States, China, Hong Kong, San Francisco, Tokyo, Marathon, Boston
And some banks think the Bank of England may be the latest to paper over the QT cracks as soon as this week. Already, there's been some awkward shuffling of feet around a process that was meant to be just balance sheet plumbing. The Federal Reserve may be further away from dealing with the QT issue head on. Deutsche Bank's UK strategists agree and think "the bar for a shift in QT policy is lower heading into yearend." Deutsche argues the BoE could either skew gilt sales shorter or agree to sell evenly based on current market valuations.
Persons: there's, BOE, BoE, BofA, Deutsche, Mike Dolan, Lisa Shumaker Organizations: Bank of England, European Central Bank, Federal, . Treasury, Bank, Treasury, Bank of America, Deutsche Bank's, Reuters Graphics Reuters, Reuters, Thomson Locations: Treasuries, yearend
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