Global equity and fixed-income markets are entering a period of heightened volatility as traders brace for a dense schedule of US economic data and major corporate earnings.
The recent rally, fueled by optimism over peace prospects and declining oil prices, faces a critical test this week as investors digest the Federal Reserve's latest policy decision alongside second-quarter GDP figures and the PCE inflation gauge.
The Federal Reserve has issued a stark reminder that inflationary pressures have intensified this year, remaining well above the central bank's long-term 2% target.
The Federal Reserve has issued a stark reminder that inflationary pressures have intensified this year, remaining well above the central bank's long-term 2% target.
In its latest economic assessment, the Fed highlighted the persistent nature of these pressures, complicating the path for future rate adjustments.
This backdrop sets the stage for a potentially volatile session as markets attempt to reconcile the central bank's hawkish tone with incoming growth data.
On the corporate front, results from Microsoft, Meta, Apple, and Amazon are expected to provide crucial signals on the health of the technology sector and broader consumer spending.