from SchiffGold
Forecasting the Upcoming Week: The Fed, ECB and Inflation Will Rule the Sentiment
A dreadful week saw the US Dollar (USD) deepen its retreat from the cycle highs recorded in mid-January, driven by persistent uncertainty surrounding President Trump’s trade and tariff policies, as well as comments advocating lower interest rates.
by Pablo Piovano
FX Street
The US Dollar Index (DXY) added to previous losses, breaking below the key support at 107.00 to reach new five-week lows as market participants adjusted to President Trump’s inconclusive view on tariffs as well as his defence of lower interest rates. The Chicago Fed National Activity Index will kickstart the US docket on January 27, followed by New Home Sales and the Dallas Fed Manufacturing Index. Durable Goods Orders, the FHFA’s House Price Index, the CB Consumer Confidence, and the Richmond Fed Manufacturing Index all come on January 28 prior to the API’s report on US crude oil inventories. On January 29, the FOMC event will take centre stage, seconded by the weekly Mortgage Applications by MBA, the advance Goods Trade Balance figures, and the EIA’s report on US crude oil supplies. The usual weekly Initial Jobless Claims are due on January 30 along with Pending Homes Sales and another estimate of the US Q4 GDP Growth Rate. The publication of US inflation tracked by the PCE will be in the spotlight on January 31, followed by Personal Income/Spending and the Employment Cost index.
Silver (XAG) Forecast: Is the Fed’s Inflation Outlook the Catalyst Silver Bulls Need?
Silver closed at $30.59, holding the bullish $30.44 pivot. Can Fed policy shifts and China’s outlook drive a breakout above $31?
by James Hyerczyk
FX Empire
Why Did Silver Struggle to Break $31.00?
Silver prices closed last week at $30.59, up 0.80%, managing to stay on the bullish side of the $30.44 pivot, which now controls the market’s direction on the weekly chart. While the metal briefly traded above $31.00, it failed to sustain momentum, underscoring traders’ hesitation despite a supportive macro backdrop?.
The uncertainty stems largely from mixed signals in industrial demand. China, the world’s largest silver consumer, remains a focal point, with speculation about tariff reductions and infrastructure investments offering hope for demand growth.
The Daily Money: Can Trump Fix Inflation?
by Daniel de Visé
USA Today
Good morning! It’s Daniel de Visé with your Daily Money.
Apologies: President Trump is having such a busy first week, we feel like we’re playing catchup.
Amid the flurry of actions Trump took his first day in office Monday was a memorandum calling on federal agencies to find ways to solve what Americans have called their biggest financial burden: inflation.
The memo signified Trump’s effort to swiftly address a historic post-pandemic spike in consumer prices. Inflation is a chief reason Americans said they disapproved of former President Joe Biden and voted for Trump over former Vice President Kamala Harris.
Can Trump fix inflation?
Fox Business Reports Price of Eggs Has Risen 37%: ‘Nearly $9 Per Dozen in Some Areas’
by Sarah Rumpf
Mediaite
Inflation — especially the cost of essentials like housing, groceries, and gas — was a major issue for many voters in last November’s election, but President Donald Trump may find it easier said than done to get the price of eggs down, according to a Fox Business report.
An article by Fox News Digital breaking news writer Alexandra Koch noted that egg prices “are up 36.8% from this time last year,” according to the Consumer Price Index.
Data compiled by the U.S. Bureau of Labor Statistics showed that a dozen Grade A large eggs — the most popular type offered in most grocery stores across the country — cost $2.51 in December 2023 and increased to $4.14 a year later, in December 2024.
Inflation-Protected Treasuries Draw Highest Yield Since 2009
by Elizabeth Stanton
Yahoo! Finance
(Bloomberg) — An auction of inflation-protected US Treasuries on Thursday drew the highest yield in more than a decade.
[…] The $20 billion sale of 10-year Treasury Inflation-Protected Securities, or TIPS, was awarded at 2.243%, the highest result since January 2009 and about a basis point higher than the indicated yield at 1 p.m. New York time, the bidding deadline. While Treasury yields of all types have been gradually rising and linger shy of their 2023 peak levels, auctions capture yields only once per month.
The rise in inflation-protected yields reflects “a combination of underlying growth fundamentals and the market pricing in longer-term real term premium as a result of concerns about the fiscal outlook,” said Michael Pond, head of global inflation-linked market strategy at Barclays Capital Inc. “The economy has held up well despite higher rates.” The Federal Reserve’s ongoing reduction in its holdings of Treasuries is also a factor, he said.
Netflix Raises Prices 16%, Peter Schiff Warns of Escalating Inflation Risks Ahead of Trump Policies
by Kaustubh Bagalkote
Benzinga.com
Netflix Inc. announced a 16% price increase for its standard streaming plan on Tuesday, prompting economist Peter Schiff to warn of persistent inflation risks ahead of potential policy shifts under President Donald Trump‘s administration.
What Happened: The streaming giant raised its ad-free standard plan from $15.49 to $17.99 monthly while increasing its premium tier to $24.99 and the ad-supported option to $7.99.
The price hikes coincided with Netflix’s robust fourth-quarter earnings report, which showed revenue climbing 16% year-over-year to $10.25 billion and subscriber growth of 18.91 million, bringing total paid memberships to 301.63 million.
Schiff, a vocal critic of current monetary policy, cautioned on X that the Netflix price increase signals broader inflationary pressures. “The lull in the inflation storm is over. The consequences of inflationary monetary policy that finally showed up under Biden will kick into a higher gear under Trump,” he wrote.
Eleven Reasons Why the Federal Reserve is Bad
by Michael Snyder
The Economic Collapse Blog
Most Americans realize that the federal government is drowning in debt and that inflation is out of control. But very few Americans can coherently explain where money comes from or how our financial system actually works. For decades, bankers that we do not elect have controlled America’s currency, have run our economy into the ground, and have driven the U.S. government to the brink of bankruptcy. The Federal Reserve is an institution that was designed to drain wealth from U.S. taxpayers and transfer it to the global elite. Have you ever wondered why a sovereign nation such as the United States has to borrow United States dollars from anyone? Have you ever wondered why a sovereign nation such as the United States does not even issue its own currency? Have you ever wondered why we allow a group of unelected private bankers to run our economy?
Those are some very important questions. Hopefully what you are about to read will open the eyes of many. The truth is that our financial system is centrally-controlled and centrally-managed by a group of banking oligarchs who oversee a constantly expanding debt spiral which could come crashing down at any time. If the American people truly understood how our system works, they would be protesting in the streets right now. The following are 11 reasons why the Federal Reserve is bad…
Trump Ordered the U.S. Government to Lower Prices for Americans. Can He Deliver?
by Aimee Picchi
CBS News
President Trump, who while campaigning vowed to end the “inflation nightmare,” on Monday signaled his focus on the high cost of living in the U.S. by signing an executive order that requires “all executive departments and agencies to deliver emergency price relief” to Americans.
Mr. Trump’s Jan. 20 order blames several factors for the pandemic-era inflation surge that has left many households feeling financially pinched, including high federal spending under the Biden administration and costs from new regulations.
“It is critical to restore purchasing power to the American family and improve our quality of life,” the executive order states.
To accomplish that, Mr. Trump is ordering the departments and agencies that fall under the executive branch, including the departments of Commerce, Health and Human Services, Labor, and Energy, to take actions that lower prices for everything from housing and health costs to food and fuel.
Americans Say Their Savings Accounts Aren’t Keeping Up with Inflation. There’s a Fix.
by Daniel de Visé
USA Today
Most Americans feel their bank accounts aren’t keeping up with inflation, a new survey finds, fresh evidence that savers who seek high interest rates may not be looking hard enough.
In a survey fielded by the personal finance site WalletHub, 65% of bank customers said the money in their accounts isn’t keeping pace with inflation. The findings come from a nationally representative survey of more than 200 consumers.
If a consumer’s bank account is earning less than the inflation rate, banking experts say, that may be the customer’s own fault.
“People do not do enough comparison shopping when it comes to where they’re going to put their money, their savings,” said Odysseas Papadimitriou, CEO of WalletHub. “They usually rely on the easiest solution.”
How Much Do Commodities Impact Inflation Indices?
by Dr. Mark Shore
CME Group
Inflation rose across much of the world as the COVID-19 pandemic disrupted supply chains and changed consumption patterns during a period of social sequestration. In the United States, inflation topped 9% at its peak, but has since come down sharply although it remains stubbornly above the Federal Reserve’s (Fed) 2%target. In the U.S., the rate of inflation is primarily measured by two indicators: The Consumer Price Index (CPI), calculated by the Bureau of Labor Statistics (BLS), and Personal Consumption Expenditures (PCE), calculated by the Bureau of Economic Analysis (BEA). These indicators contain a variety of prices across several sectors such as food, energy, durable goods, services, transportation, and rent.