Bloomberg Daybreak: Asia Edition Daybreak Weekend: Fed Meeting, ECB Decision, RBA Preview
Jan 24, 2025
James McIntyre, a Bloomberg Economist specializing in Australia and New Zealand, offers keen insights into the Australian economy's current state. He discusses the significant challenges of high mortgage rates juxtaposed with strong population growth. The anticipated consumer price index report could influence the Reserve Bank of Australia's policies. McIntyre also touches on how U.S.-China trade relations and global economic uncertainties are poised to impact Australian markets, emphasizing a complex interplay of local and international factors.
AI Snips
Chapters
Transcript
Episode notes
Fed on Hold
- The Federal Reserve is expected to hold steady on monetary policy in its first decision of 2025.
- The focus will shift to Jerome Powell's press conference and his comments on future moves.
Labor Market Mixed Signals
- While the U.S. labor market shows strength with low unemployment and rising wages, long-term unemployment hit a three-year high.
- Companies seem hesitant to hire or fire, making job searches longer.
Inflation Watch
- Inflation remains relatively stable, with CPI at 2.9% and PCE at 2.8% year-over-year in December.
- The Fed is closely monitoring inflation expectations and their potential impact on wages and future inflation.