The Global Economic News

Japanese markets reacted in a seemingly counterintuitive fashion on Friday after the country's central bank hiked benchmark interest rates to their highest in 31 years. Interest-rate increases ordinarily support a country's currency, push up its bond yields, and put pressure on its stock market. Japan's currency, bond yields, and stock market did exactly the opposite. The yen weakened past 157 against the dollar, the yield on the 10-year Japanese Government Bond slipped, while the Nikkei 225 gained 1.5% as the BOJ raised its policy rate to 1.25%. The hike brought the policy rate to its highest level since 1995, and came just three months after its previous increase. Experts pointed to the split decision by the BOJ's board, as the reason for the uncharacteristic market reaction, as it indicated that the bank might not take a too hawkish stance. "The two dissenting votes in favor of keeping rates unchanged came as a surprise," said Hirofumi Suzuki, chief FX str...

Japanese business executives, even those who have benefited from a weak yen, are calling for a stronger currency, with Kawasaki saying it would move manufacturing back to its home country if the yen strengthens. When the yen fluctuates, "we cannot make [a] strategy," Yoshinori Kanehana, chairman of Kawasaki Heavy Industries, told CNBC on the sidelines of the Gastech conference on Tuesday. He said it was the "biggest problem" for the company. Kanehana said that yen at 150 could make him consider moving manufacturing from the U.S. to Japan. It has 27 production sites outside the country, including in the U.S., and 17 at home, according to a company report published last year. Takayuki Ueda, president and CEO of energy major Inpex, wants the currency to be even stronger, saying that yen at 100 would be the "appropriate" level, suitable for the Japanese economy. His comments come even as nearly 90% of the Japanese oil company's business is outside Japan, ...

Stocks making the biggest moves premarket: SKHY, JBHT, EXPE & more Skip Navigation Markets Business Investing Tech Politics & Policy Video Watchlist Investing Club PRO Livestream Menu Check out the companies making the biggest moves premarket: SK Hynix , Intel The chipmakers rose after a Reuters report that SK Hynix was in talks with Intel to manufacture memory chips in the U.S. for the first time. Both stocks were up more than 2.5%, but SK Hynix said that no decisions have been made regarding any partnership with Intel. J.B. Hunt Transport Services Shares of the transportation and logistics company tumbled more than 11% after the company warned that its earnings may tumble in the third quarter between 5% to 10%, compared to the previous three-month period. J.B. Hunt said the decline has been due to internal adjustments to account for rising rates of purchase transportation. Expedia The online travel company fell more than 2.5% after Morgan Stanley downgraded the stock to unde...

The battle for the U.S. Senate is still tight, but prediction market traders think Democrats have close to their best chances yet of taking the upper chamber. Speculators on Kalshi now give Democrats a 55% chance to win the Senate, nearly matching a level reached in mid-April. On Polymarket , the odds are even higher, with a 59% chance that Democrats will wrest control. Republicans are defending majorities in both the House of Representatives and Senate this November, but the upper chamber was always viewed as more difficult for Democrats to flip. Republicans already control 22 of the 35 Senate seats up for grabs this year, including two seats up for special elections in Ohio and Florida. Democrats would have to flip several seats in states where President Donald Trump won by 10% or more in 2024 including in Alaska, Texas and Ohio to take control. Odds that the Democrats win the Senate have improved significantly in 2026 on prediction markets. Before the Iran war began on Feb. 28, Rep...

Some offers on this page are from advertisers who pay us, which may affect which products we write about, but not our recommendations. See our Advertiser Disclosure . What is debt settlement? How it works and what it costs you. Rebecca Safier Tue, September 15, 2026 at 4:38 AM PDT 7 min read Debt settlement is a debt relief strategy where you negotiate with creditors to pay less than the full amount you owe, often through a lump-sum payment. In some cases, a creditor will accept as little as 50% of your balance. A successful debt settlement has the potential to save you money and get you out of debt, but it comes with serious trade-offs, including potential fees, damage to your credit, and tax liabilities. There's also no guarantee that your lender will agree to settle your debt. It's important to understand these pros and cons to determine whether debt settlement is a viable path for you. The Best Tips & Tricks to Achieve Financial Independence Brought to you by Understan...

Stock futures climbed Wednesday evening following a market sell-off incited by the first Federal Reserve interest rate hike in three years. Futures tied to the Dow Jones Industrial Average advanced 72 points, or 0.1%. S&P 500 futures were up 0.2%, and Nasdaq-100 futures added 0.4%. In Asia, Japan's Nikkei 225 was poised to rise Thursday, with the Chicago futures contract at 64,430 and its Osaka counterpart last trading at 64,250, compared with the index's previous close of 63,923. Hong Kong Hang Seng index futures were at 24,401, compared with the index's last close of 24,713.78. Generac rose more than 30% in extended trading after Amazon received warrants to buy up to $340 million of its shares. The warrants are part of a deal in which Generac will supply Amazon with backup power generators for its data centers. In regular trading, the blue-chip Dow lost more than 630 points, or 1.2%, dragged down by financial services names. The broad market S&P 500 edged lower b...

This is a comparison of Wednesday's Federal Open Market Committee statement with the one issued after the Fed's previous policymaking meeting in July. Text removed from the July statement is in red with a horizontal line through the middle. Text appearing for the first time in the new statement is in red and underlined. Black text appears in both statements. 🔥 EXCLUSIVE PARTNER OFFER RetroScaler2x AV to HDMI® Converter and Line-doubler For Retro Game Consoles PS2 N64 NES Dreamcast Saturn MD1 MD2 Special Price ✨ Special deal alert! Don't miss this amazing product with top-rated reviews worldwide. 🛒 Buy Now on AliExpress → Affiliate link — Commission earned at no extra cost to you 📰 Original source: https://www.cnbc.com/2026/09/16/september-fed-statement-redline.html © EcoNews DZ — Global Economic & Financial News

Central bank signals willingness for further action as chair Kevin Warsh warns that ‘inflation is too high and has been for too long’ 🔥 EXCLUSIVE PARTNER OFFER Heat Set Insert Press Tool Electric Soldering Iron Tip M2 M3 M4 M5 M6 M8 Thread Brass Inserts Nut Embedded Kit for 3d Printing Special Price 🎯 Best price guarantee! Order now and enjoy fast shipping with global tracking. 🛒 Buy Now on AliExpress → Affiliate link — Commission earned at no extra cost to you 📰 Original source: https://www.ft.com/content/f5ce5c38-76e3-4212-8c60-4c868f6dee70?syn-25a6b1a6=1 © EcoNews DZ — Global Economic & Financial News

Image source, Getty Images By Henry Zeffman Political correspondent Published 6 hours ago Today's inflation figures underscore that the economy is the biggest challenge facing Andy Burnham. It is only 42 days until John Healey's first Budget, and there is increasingly apparent concern at all levels of the government and Labour Party about how that Budget can or, as it may prove, cannot substantiate Burnham's rhetoric about offering the biggest change in British politics in 40 years. Much of the tricky economic environment, yes, is driven by global factors including the persistence, and to some degree worsening, of the conflicts in the Middle East and Ukraine. And the AI boom pushing up borrowing costs is another issue affecting many countries. But there are clearly domestic factors particular to Britain, and on that front it was very striking to hear the former Bank of England chief economist Andy Haldane telling LBC on Tuesday that without signs of cuts to public spendi...

Article about global economy: Soaring bond yields, gaping deficits and towering debts: what could go wrong? 🔥 EXCLUSIVE PARTNER OFFER Worx 4V Mini Electrical Screwdriver Set WX242 WX241 WX240 Smart Cordless Electric Screwdrivers USB Rechargeable Hand Drill Tools Special Price 🌟 Hot deal! This trending product is flying off the shelves. Get yours before it's too late! 🛒 Buy Now on AliExpress → Affiliate link — Commission earned at no extra cost to you 📰 Original source: https://www.economist.com/finance-and-economics/2026/09/16/soaring-bond-yields-gaping-deficits-and-towering-debts-what-could-go-wrong © EcoNews DZ — Global Economic & Financial News

The Federal Reserve on Wednesday approved its first interest rate hike in more than three years and indicated another is to come, as part of an effort aimed at combating inflation brought on by spiraling oil prices and other factors. In a move that markets widely anticipated , the central bank's Federal Open Market Committee voted 12-0 to increase its key interest rate by a quarter percentage point, or 25 basis points. The move brought the overnight funds rate to a target range of 3.75%-4%. "Inflation remains elevated," the committee said in its brief post-meeting statement . "Today's policy action will support a timelier return to the Committee's 2 percent goal. The Committee will deliver price stability." During a news conference , Chairman Kevin Warsh said inflation has been "too high ... for too long." "We must be confident that underlying inflation is moving to our objective clearly and at sufficient speed," he said. "Today...

You've saved $2 million for retirement but these 5 traps could be quietly devouring your nest egg Sigrid Forberg and Vishesh Raisinghani Tue, September 15, 2026 at 2:00 AM PDT 7 min read NomadSoul1/Envato You've got $2 million saved for retirement now you need to watch out for these 5 traps that'll devour your nest egg If you've got $2 million tucked away for retirement, you're sitting well above where most Americans think they need to be. Must Read Jeff Bezos backs a platform that lets anyone invest in rental homes for as little as $100 6 ways to build wealth like a landlord without actually being one Dave Ramsey warns nearly 50% of Americans are making 1 big Social Security mistake. Here's what it is and 3 simple steps to fix it ASAP The tax breaks in Trump's 'big beautiful bill' expire after 2028. Here are 4 moves to make before the window closes The average U.S. adult now pegs the " magic number " for a comfortable retirement at $1.46 ...

Corporate debt issued by the giant cloud computing players powering the artificial intelligence boom is getting riskier, private equity firm Apollo Global Management warned on Wednesday. Risk insurance contracts, known as credit default swaps (CDS), for bonds issued by hyperscalers are getting pricier, and it's not because banks are hedging more of their bets as bond issuance climbs, Apollo chief economist Torsten Slok wrote in a Wednesday note . "What the market is repricing is hyperscaler credit fundamentals, namely a debt-financed AI capex cycle with rising leverage, negative free cash flow and uncertain payback on depreciating assets," Slok wrote. If dealer hedging of new bonds were responsible for the rise in risk insurance prices, that widening would show up in the issuers of those bonds the banks. But that's not what's happening. The gap between hyperscaler CDS and bank CDS has widened to around 60 basis points from roughly 0 since October of 2025, implyin...

The tech industry has been "tone deaf" in explaining AI and properly informing the public about real risks, Reddit co-founder Alexis Ohanian told CNBC on Wednesday. Ohanian said the debate around AI should focus on substantive risks rather than issues that can be used to score political points, arguing that an informed public is essential to navigating the technology. He acknowledged that the tech industry has contributed to the problem by doing a "pretty tone deaf job" of explaining AI, while suggesting that its risks are more mundane than the "Terminator and Skynet" scenarios some fear. Skynet is a fictional self-aware AI system in the "Terminator" movies that saw humans as a threat and sought to wipe them out. The comments come days after warnings from researchers at AI labs OpenAI and Anthropic of the rapid advancement of the technology known as recursive self-improvement, or RSI. RSI refers to AI systems helping develop more advanced models...

Investors behind the world's top-performing sovereign wealth fund warned Wednesday that the U.S. equity market could be due a correction. Jo Townsend, CEO of the Guardians of New Zealand Superannuation which manages the country's $54 billion wealth fund warned of a potential downturn as she revealed the fund had grown 14.2% in the year to June 30. The New Zealand Superannuation Fund, which had a value of 94.4 billion New Zealand dollars ($54.4 billion) at the end of the 2026 financial year, was ranked the world's best-performing sovereign wealth fund earlier this year by analytics firm Global SWF . The Guardians said Wednesday that the returns posted in the fiscal year represented annual fund growth of NZ$9.3 billion but came in 0.1 percentage point below its benchmark index. While Townsend said Wednesday that the fund had performed exceptionally well in 2026, she cautioned that the returns enjoyed by stock market investors in recent years are likely to slow. "Returns...

While it may have taken a while, Wall Street finally has warmed to the idea that the Federal Reserve likely will raise its benchmark interest rate as it seeks to slay a maddeningly persistent inflation problem. Traders have assigned a better than 90% probability that the central bank's Federal Open Market Committee will vote to raise the overnight funds rate a quarter percentage point, putting the target range at 3.75%-4%, according to the CME Group's FedWatch gauge of futures prices. A month ago, the odds were just 36%, as the market expected soft inflation readings and Chairman Kevin Warsh 's reluctance to commit the Fed to a hawkish policy path to keep the appetite in check for tighter monetary policy. However, Warsh's remarks during the Fed's annual symposium in Jackson Hole, Wyoming, started to turn the tide. Another raft of discouraging inflation data along with a firming labor market helped seal the deal. A resurgence in crude oil prices back above $100 ...

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