Fed

• Kevin Warsh has warned that the Federal Reserve may need to increase interest rates due to "concerning" and stubbornly high inflation levels. • The central bank emphasizes that underlying price pressures must show a convincing trend toward the official two percent target before policy shifts. • This stance is supported by the current resilience of the U.S. economy, which provides the Federal Reserve with the flexibility to prioritize inflation control.

• Federal Reserve Chairman Kevin Warsh delivered his first keynote address at the annual Jackson Hole retreat in Wyoming on Friday. • Warsh emphasized that price stability remains the central bank's core focus and will be the primary driver for near-term decision-making. • Despite strains in the housing and agriculture sectors, Warsh expressed confidence in the overall resilience and strengthening of the U.S. economy.

• Asian stocks, specifically equity-index futures for South Korea and Hong Kong, are expected to open lower on Friday, August 28, while Japanese futures remain flat. • The cautious sentiment follows a rally in US technology stocks driven by a strong outlook from Nvidia. • Investors are bracing for a speech by US Federal Reserve chair Kevin Warsh at the Jackson Hole symposium, with many anticipating a hawkish tone regarding monetary policy.

• Global stock markets mostly rose on Friday as investors sought guidance on future interest rate trajectories amid persistent inflation. • Market attention has shifted from the recent euphoria surrounding Nvidia's strong earnings report to an upcoming policy speech by US Federal Reserve Chair Kevin Warsh. • Asian equity markets showed mixed results, with gains in Tokyo and Hong Kong offset by retreats in Seoul and Shanghai as tech firms struggled to maintain their rally.

• Gold prices declined 0.16% to trade at $4,594, remaining below key moving averages as market participants await the upcoming Jackson Hole symposium. • Technical indicators show a mixed outlook, with the MACD in a strong sell configuration and the RSI at 48.63, suggesting mild bearishness. • The ADX reading remains neutral, indicating that gold currently lacks a dominant trend amid limited trading flows.

Nearly 600 days after the devastating 2025 fires, thousands of Los Angeles residents are still waiting for more than $15bn in federal funds to rebuild their communities As thousands of residents in Spokane, Washington begin to grapple with a long recovery after a destructive set of blazes that consumed hundreds of homes in the state’s second most populated city this month, victims of the Los Angeles firestorm broke a grim record – they have faced the longest delay in modern history for federal aid.Nearly 600 days since a historic firestorm roared into communities across Los Angeles, reducing more than 16,000 structures to ash and toxic debris, the Trump administration has failed to appropriate more than $15bn in long-term recovery funds that are crucial to rebuilding. The delay in supplying the badly needed funds is months longer than the last record set when victims of the Maui fires had to wait 500 days to receive the support, LAist noted this week. Continue reading...

• US Federal Reserve Chairman Kevin Warsh described current inflation levels in the United States as "concerning" during his opening remarks on Friday. • Speaking at a key central bankers' meeting in Jackson Hole, Wyoming, Warsh emphasized that the Fed's "predominant focus right now should be on prices." • The statement is significant as Warsh had previously been reticent to share his economic views since taking office.