UBS sees the Fed to cut 25bps in December 2026 and March 2027 (prev. forecast cuts in September and December)
UBS's revised forecast for the Fed to cut rates in December 2026 and March 2027, rather than earlier, suggests a more cautious outlook on monetary policy.
SMFG (8316 JT) - FY25/26 (JPY): Net 1.58tln (prev. 1.18tln Y/Y), Operating Profit 2.30tln (prev. 1.72tln Y/Y), Revenue 10.78tln (prev. 10.17tln Y/Y), announces JPY 180bln share buyback, guides FY Net 1.70tln (exp. 1.76tln)
Riksbank Minutes: Market expectations regarding central bank policy rates have been closely interlinked with the inflation risks stemming from energy prices
UBS sees the Fed to cut 25bps in December 2026 and March 2027 (prev. forecast cuts in September and December)
China Foreign Ministry says the nation welcomes US President Trump's state visit, will discuss issues of major importance to US-Sino ties, as well as world peace and development
EUROPEAN OPEN: HLAG GY earnings fall on freight-rate pressure, backs outlook; SIE GY orders beat, sales miss, announces EUR 6bln buyback; ALV GY posts record Q1 operating profit; MRK GY raises guidance after Q1 beat; DTE GY raises guidance
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This shift could imply that market participants need to reassess their expectations regarding future economic conditions and rate paths, potentially leading to adjustments in fixed income and currency markets as the focus shifts towards longer-term growth and inflation dynamics.
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