Latest Finance-Economy News
US Q3 GDP Surges 4.3%, Complicating Fed Rate Cut Odds
The US economy unexpectedly grew at a 4.3% annualized rate in Q3, driven by robust consumer spending and corporate gains, prompting markets to reassess the likelihood of a January Fed rate cut as PCE inflation rose to 2.8%. Analysts warn the growth is uneven — a "K‑shaped" pattern where output rises without broad hiring — which could keep monetary policy tighter for longer
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World Shares Mixed Ahead of Year End; Santa Claus Rally Questioned
Global equity markets closed the year mixed as investors weighed seasonal optimism against signs of slowing demand and sticky inflation, with the S&P 500 hitting record highs while other regional indexes underperformed. Thin holiday volumes amplified moves across assets, and gold and silver extended strong gains amid geopolitical tensions
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Gold and Silver Rally to Record Levels on Geopolitical Fears
Precious metals continued their run, with gold and silver hitting record highs this week as investors sought safe havens amid elevated geopolitical risks and market uncertainty. The precious‑metal rally has been a major contributor to commodity market moves late in the year
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Dollar Dynamics Shift as Yield Differentials and Policy Uncertainty Persist
Currency markets have been strained by changing yield differentials and policy uncertainty; the dollar found support earlier in 2025 but faced periodic pressure as markets priced fiscal and tariff risks tied to US policy. Analysts note the euro rallied strongly against the dollar in 2025 amid dovish Fed signals and euro‑area dynamics, complicating FX outlooks into 2026
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Tariffs and Trade Policy Continue to Reshape Global Supply Chains
New US protectionist measures enacted in 2025 have raised effective tariff rates and prompted firms to reconfigure supply chains, a shift expected to exert drag on trade and investment into 2026. Commentators warn this policy regime raises stagflationary risks by raising costs while growth remains uneven
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Lending Conditions Improve; Credit Demand Rises Heading into 2026
Experian reports solid economic momentum and improving lending standards in Q4 2025, with rising credit demand and stable delinquency trends signaling a healthier credit environment for 2026. The report highlights structural shifts in household balance sheets and the role of asset appreciation in supporting consumption
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Market Debate: Is 2025’s Growth Sustainable or Fueled by Asset Gains?
Macro analyses argue 2025 growth has been supported heavily by asset‑price appreciation, boosting household net worth and consumption even as underlying affordability and labor fragility persist. Economists caution that reliance on asset gains masks distributional strains and could limit durable expansion
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US Consumer Confidence Slips Despite Strong GDP Print
Surveys indicate US consumer confidence softened in December even after the Q3 GDP surprise, reflecting concerns about prices and the labor outlook that could temper spending momentum into 2026. This divergence between sentiment and headline growth creates uncertainty for early‑year activity
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Markets Watch Oil for Supply Risks from Venezuela and Russia
Oil prices moved higher as traders monitored possible supply disruptions in Venezuela and Russia, keeping crude volatile late in the year amid geopolitical uncertainty. Energy market tightness remains a tail‑risk for inflation and global growth
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Forecasts and Calendars: Thin Data Window as Markets Enter New Year
Economic calendars show few major data releases between Dec 29 and Jan 4, meaning markets will be sensitive to sparse updates and any unexpected news, including China PMI and US labor indicators that could steer policy expectations. Analysts say the holiday‑thin schedule increases the importance of early‑January releases for setting 2026 narratives
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