{
}
The penny, long criticized for its lack of value, faces a new challenge as cash usage declines and production costs rise, with each penny costing 2.72 cents to mint. With 240 billion pennies weighing down the economy, calls for its abolition grow stronger, echoing sentiments that could soon apply to nickels and dimes as well. In a modern economy, these small denominations serve little purpose, prompting discussions about their future.
Gold prices have surged over 50% since October 2023, reaching $2,801.00 per troy ounce, driven by strong central bank demand, particularly from China. Analysts suggest that if the current momentum continues, the psychological target of $3,000.00 could be achieved by the end of Q1 2025, with further potential upside to $4,000.00 in a prolonged bull market. However, risks such as a stronger US dollar and rising real yields could impact gold's appeal as a safe-haven asset.
The Federal Reserve maintained its key interest rate amid high inflation and uncertainty regarding the new Trump administration's economic policies, particularly concerning potential import tariffs. In contrast, the European Central Bank is poised to cut rates, with a possible increase in March if U.S. tariffs are avoided. Meanwhile, the DAX has outperformed the S&P over the past three months, driven by a lack of exposure to the recent AI stock downturn, raising questions about the sustainability of this trend.
Bitcoin has fallen below $100,000 amid investor disappointment over Donald Trump's lack of concrete steps regarding cryptocurrency regulation and strategic reserves. The upcoming Federal Reserve meeting, where a pause in interest rates is anticipated, adds to market uncertainty, while key US price data is set to be released later this week.
UBS forecasts an aggressive US trade policy as the most likely scenario, predicting a 30% effective tariff on China and retaliatory measures from Beijing. The bank anticipates solid US economic growth despite trade tensions, with equities expected to rise 8% this year and a decline in Treasury yields by 2025.
The year 2025 presents both challenges and opportunities for financial markets, with the U.S. expected to maintain its economic dominance, projecting a GDP growth of around 2%. The technology sector, particularly artificial intelligence, is anticipated to drive U.S. equity markets positively, while Europe shows limited growth but signs of recovery, aided by potential interest rate cuts from the European Central Bank. In contrast, China faces moderate growth prospects, and India emerges as a strong economic player, benefiting from shifts in global manufacturing dynamics.
Raiffeisen Capital Management anticipates a constructive 2025 for capital markets, with global economic growth projected at 3%. While inflation is expected to decline, potential risks include U.S. election outcomes and trade policies under the new administration, which could impact interest rates and market stability. Emerging markets like India and Indonesia are favored for their growth potential, while U.S. equities may benefit from low inflation and falling interest rates, despite sectoral shifts.
Mark Haefele, Chief Investment Officer of Global Wealth Management, outlines key data points to monitor as 2025 approaches, emphasizing positioning for lower interest rates, potential upside in US stocks and gold, and a cautious stance on the US dollar. Political uncertainty in Europe and trade policy shifts under the new US administration are highlighted, alongside expectations for improved Eurozone consumer spending and a focus on China's fiscal policy easing. Overall, a positive outlook for US and global equities is projected, with the S&P 500 forecasted to reach 6,600 by the end of 2025.
UBS forecasts growth for the US economy despite potential tariffs under President Trump's administration. Chief Investment Officer Solita Marcelli indicates that while risks will be monitored, the proposed tariffs are unlikely to impede economic expansion or halt the downward trend in inflation, possibly leading to a 50 basis point rate cut by the Federal Reserve later this year.
Markets are poised for volatility as Trump’s inauguration approaches, with expectations of numerous executive orders impacting sectors like financials, energy, and technology. The US dollar's near-term trajectory will depend on the follow-through of Trump's policies, while small-cap stocks may gain traction amid economic resilience. Chinese equities have stabilized, but caution remains regarding US-China relations, and gold prices are testing a critical resistance level, indicating potential upside.
End Federal Reserve USD
Companies
The information provided herein is generated by experimental artificial intelligence and is for informational purposes only.
penny faces new challenges as cash usage declines and costs rise
13:27 02.02.2025
gold price surges towards three thousand amid strong central bank demand
Euro
United States Dollar
Chinese Yuan
Indian Rupee
Dow Jones U.S. Select REIT Inde
End Federal Reserve USD
Nasdaq 100 Mar 25
S&P 500
Bank of England
USA
CHN
IND
GBR
Show more
13:34 31.01.2025
DAX Surpasses S&P as ECB Prepares for Interest Rate Changes
United States Dollar
Euro
End Federal Reserve USD
USA
DEU
Jerome Powell
Christine Lagarde
Donald Trump
Show more
10:16 30.01.2025
bitcoin dips below 100000 amid trump disappointment and fed uncertainty
10:39 27.01.2025
us trade policy faces aggressive tariffs and potential global retaliation
Euro
Canadian Dollar
Mexican Peso
United States Dollar
Chinese Yuan
End Federal Reserve USD
USA
MEX
CHN
CAN
Joe Biden
Donald Trump
Show more
05:20 27.01.2025
us equity markets poised for growth amid global economic challenges in 2025
Chinese Yuan
Indian Rupee
United States Dollar
Euro
End Federal Reserve USD
Apple Inc.
USA
UKR
ITA
CHN
IND
Emanuele Bellingeri
Teresa Gioffreda
Show more
18:04 22.01.2025
emerging markets poised for growth amid global economic shifts in 2025
Euro
United States Dollar
Brazilian Real
Chinese Yuan
Turkish Lira
End Federal Reserve USD
USA
IDN
BRA
TUR
CHN
IND
ZAF
Donald Trump
Karin Kunrath
Show more
08:55 22.01.2025
investment outlook for 2025 focusing on equities and economic trends
Euro
United States Dollar
Chinese Yuan
End Federal Reserve USD
S&P 500
USA
DEU
MEX
FRA
CHN
CAN
Scott Bessent
Donald Trump
Show more
08:00 22.01.2025
ubs forecasts economic growth despite potential impact of trump tariffs
17:06 21.01.2025
markets brace for policy shifts as trump's inauguration approaches
Japanese Yen
United States Dollar
Chinese Yuan
End Federal Reserve USD
Bank of Japan
USA
JPN
CHN
CAN
Xi Jinping
Donald Trump
Show more
09:23 20.01.2025
Trending
Subcategory
Corporate News
Stock Market Updates
Industry Trends
Industry Mergers & Acquisitions
Finance Mergers & Acquisitions
Banking Regulations
Domestic Politics
Global Financial Events
Retail and Consumer Goods
CEO Changes
Global Trade Developments
Government Policies
Startups & Entrepreneurship
Market Analysis and Predictions
Workplace Trends
Elections & Campaigns
Central Bank Actions
Government Economic Policies
Supply Chain Management
Corporate Social Responsibility
Countries:
Companies:
Tesla, Inc.
UniCredit S.p.A.
Apple Inc.
Banco BPM S.p.A.
Deutsche Bank Money Market PP
JPMorgan Chase & Co.
Barclays PLC
Credit Suisse Strategic Income I
CREDIT AGRICOLE
Amazon.com, Inc.
SpaceXCoin USD
The Goldman Sachs Group, Inc.
Lloyds Banking Group plc
BNP Paribas SA
UBS Group AG
Credit Agricole
Banco Santander, S.A.
Berkshire Hathaway Inc.
Reinsurance Group of America, Incorporated
Google Inc.
Currencies:
United States Dollar
Euro
Swiss Franc
British Pound Sterling
Chinese Yuan
Indian Rupee
Japanese Yen
South Korean Won
Hong Kong Dollar
Singapore Dollar
Canadian Dollar
Offshore Chinese Yuan
Australian Dollar
Norwegian Krone
Filipino Peso
Mexican Peso
Indonesian Rupiah
Vietnamese Đồng
Thai Baht
Danish Krone
People: