N環球 
Fed Chair Warsh refuses to prejudge rates at IMF meeting in Bangkok; markets read it as dovish
Fed Chair Kevin Warsh declined to "prejudge meetings" at the IMF annual meeting in Bangkok, stopping short of endorsing colleagues' signals that the Fed is in no rush to raise rates this month. Markets took the lack of hawkishness as good news; the 10-year Treasury yield hovered around 5.110%. The Philadelphia semiconductor index fell for a seventh straight day as AI stocks stayed fragile.
Why it matters
Markets had been pricing an October rate hike; Warsh's equivocation was read as a refusal to front-run the decision. "The most important thing was what [Warsh] didn't say," said Deutsche Bank's Jim Reid. This is one of the chair's last public signals before the Fed's quiet period — reported as fact, with no market forecast.
Full report
According to Dow Jones Newswires (via Morningstar), Fed Chairman Kevin Warsh was equivocal during a moderated conversation at the IMF annual meeting in Bangkok on Friday morning (Oct 16). Asked whether he endorsed fellow policymakers' signals that the Fed is in no rush to raise rates later this month, he declined, saying he doesn't "prejudge meetings."
Market reaction: stock futures steadied (S&P 500 futures +0.15%, Dow futures +0.2%); the 10-year Treasury yield nudged 2.3 basis points higher to around 5.110%, with the 30-year near 5.450% and the 2-year near 4.760%.
AI-linked stocks remained fragile: cloud provider CoreWeave traded down 2.5% premarket; if the Philadelphia semiconductor index falls Friday, it will notch an eighth straight down day — its longest such run since October 2008. In Asia, South Korea's Kospi closed 2.05% higher after falling 7.6% in the previous session, Japan's Nikkei gained 1.8%, Taiwan's Taiex added 0.55%; Europe's Stoxx 600 rose 0.5%.
Commodities and FX: Brent crude reversed earlier losses to rise 0.3% to around $106.30 a barrel, as traders weighed IEA plans to accelerate the release of around 100 million barrels against continued Mideast supply risk amid Houthi attacks on Saudi Arabia; the dollar fell; bitcoin gained 0.8% to around $82,700; New York gold futures rose back above $4,200 a troy ounce.
US data due later Friday include September industrial production and capacity utilization.
💬 Comments
No comments yet. Be the first!