U.S. stock investors have been enjoying an extended period of low volatility and steady gains, but with the Federal Reserve on track to raise interest rates this year and major indexes near records, the market could get a bit choppier in coming weeks. Fed Chair Janet Yellen on Friday said she expected the U.S. central bank to raise rates in 2015, though the process was expected to be gradual, with the timing of the first hike dependent on the strength of economic data. Yellen's comments kept the likelihood of a September rate increase high.
OPEC is unlikely to change its production ceiling when the group meets in June, Iran's Oil Minister Bijan Zanganeh said on Sunday, according to the semi-official Mehr news agency. "Lowering OPEC's production ceiling requires consensus between all members ... under current conditions it seems unlikely that the OPEC production ceiling will change," Zanganeh was quoted as saying. Last month, Zanganeh said the producing group should cut its target daily crude production by at least 5 percent, or approximately 1.5 million barrels per day.
ATHENS/LONDON (Reuters) - Greece cannot make debt repayments to the International Monetary Fund (IMF) next month unless it achieves a deal with creditors, its interior minister said on Sunday, the most explicit remarks yet from Athens about the likelihood of default if talks fail. Shut out of bond markets and with bailout aid locked, cash-strapped Athens has been scraping state coffers to meet debt obligations and to pay wages and pensions. After four months of talks with its euro zone partners and the IMF, the leftist-led government is still scrambling for a deal that could release up to 7.2 billion euros ($7.9 billion) in remaining aid to avert bankruptcy.
The U.S. auto safety watchdog, long criticized as toothless and slow, is showing both bark and bite under its new boss - a testimony to his credentials as a safety expert and a hardening of the administration's policy after a wave of deadly defects. Having taken the helm of the National Highway Traffic Safety Administration in January, Mark Rosekind has wasted no time in forcing reluctant companies into recalling millions of defective vehicles. In doing so, he has shown greater willingness than some of his predecessors to use the government’s full legal powers over the industry, some for the first time. In the past week alone, the agency announced the biggest recall in history, involving nearly 34 million vehicles with potentially deadly Takata Corp (7312.T) air bags.
Figures due on Friday from the United States that will almost certainly show the world's biggest economy contracted last quarter are also likely to feature. "With the negotiations between Greece and the rest of the euro area at an impasse, an impatient German Chancellor Merkel has warned that an agreement must be reached before the end of the month," said Thomas Costerg, senior economist at Standard Chartered. Greece cannot make a payment to the International Monetary Fund due on June 5 unless foreign lenders disburse more aid, a senior ruling party lawmaker said on Wednesday, the latest warning from Athens it is on the verge of default.
Federal Reserve Chair Janet Yellen was clearer than ever on Friday that the central bank was poised to raise interest rates this year, as the U.S. economy was set to bounce back from an early-year slump and as headwinds at home and abroad waned. Yellen spoke amid growing concern at the Fed about volatility in financial markets once it begins to raise rates, and a desire to begin coaxing skeptical investors toward accepting the inevitable: that a 6-1/2-year stretch of near-zero interest rates would soon end. The confident tone suggested the Fed wants to set the stage as early as possible for its first rate rise in nearly a decade, with Yellen stressing that monetary policy must get out ahead of an economy whose future looks bright.
The Bank of England plans to assess the implications of a possible British exit from the European Union, it said in a statement, confirming an email it inadvertently sent to a newspaper about the supposedly confidential research project. The Guardian reported that an aide to a senior Bank official said in the email the project should be kept secret from most BoE staff and any journalists asking about it should be told the Bank was looking at a broad range of European economic issues. British Prime Minister David Cameron, who was re-elected on May 7, has pledged to reshape Britain's ties with the EU before holding an in-out membership referendum by the end of 2017.
Quoting two people with knowledge of the email, the Times said it detailed how global carmakers needed to consolidate to save money and suggested a merged GM and Fiat Chrysler would cut billions of dollars in costs and create an automotive giant. Reuters first reported on April 13 that Marchionne, who leads the world's seventh-largest carmaker, was contemplating a super merger, possibly in the United States, to plug his company's weaknesses and cement his legacy before stepping down in early 2019.
European Central Bank President Mario Draghi has urged euro zone countries to unite in the task of reforming the bloc's economies, saying sharing sovereignty was an opportunity and not a threat. Draghi is pushing governments not to waste the time ECB money printing has bought them. In a message read to attendees at a conference in Rome, he said countries should act quickly on recommendations the central bank has made to complete economic and monetary union, many of which have not been carried out.
The Turkish arm of French carmaker Renault (RENA.PA) on Saturday offered concessions including a cash lump sum to striking workers if they return to work. Production at the company's joint venture Oyak Renault has been halted for a week in a dispute with workers over pay and working conditions, which has also affected other producers in the northwest city of Bursa, including Tofas (TOASO.IS) and Ford (F.N) unit Ford Otosan (FROTO.IS). In a statement on Saturday, Oyak Renault said workers would not face disciplinary action, and would receive a cash payment of 1000 Turkish lira ($370) if production resumed at midnight on Monday.
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A confluence of economic factors are setting the scene for a strong Memorial Day Weekend in the auto industry.
Federal Reserve Chair Janet Yellen on Friday said she expected the central bank to raise rates this year as the U.S. economy was on course to bounce back from a sluggish first quarter and as headwinds at home and abroad begin to wane.
Core inflation for April was slightly higher than forecast. But Merrill Lynch economist Michael Hanson says price gains should remain tame.
America needs to pick a policy and stick with it.
Business and political leaders see a range of problems holding the nation back.
Google, Twitter and Facebook face being blocked in Russia after being warned against violating the country's controversial blogging laws.
Rising shelter and medical care costs boosted underlying U.S. inflation pressures in April, a welcome sign for the Federal Reserve as it contemplates raising interest rates this year. The Labor Department said on Friday its Consumer Price Index, excluding food and energy, increased 0.3 percent last month. It was the largest rise in the so-called core CPI since January 2013 and followed a 0.2 percent gain in March.
Solid sales in construction equipment offset a global agricultural slowdown for Deere, and the company raised its outlook for the year. Shares rose nearly 4 percent before the opening bell Friday. Deere's ...
With the indexes drifting at the top of its range, the stocks making new all-time highs suggest the market is sniffing out a continued deal boom.
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Cash-strapped Greece will cut the pay of bank bailout fund executives by 40 percent because their salaries are a "provocation" during a time of austerity cuts elsewhere, the finance ministry said on Friday. The Hellenic Financial Stability Fund (HFSF), financed by the country's bailout package, is the rescue vehicle that recapitalised Greece's big banks and covered the costs of winding down others deemed non-viable. "The minister (Yanis Varoufakis) understands that positions with high responsibility must be remunerated accordingly but salaries at the HFSF are a provocation for Greek society when incomes in the private and public sectors have shrunk," the ministry said.
The drastic fall in oil prices is widely thought to have hit the Gulf's main producers, but this CEO says the opposite is true.
Chinese stocks hit a seven-year high as investors pinned their hopes on further economic stimulus while most other world markets were subdued Friday ahead of a speech by Federal Reserve chair Janet Yellen.
Twenty of the world's biggest banks have paid more than $235 billion (150 billion pounds) in fines and compensation in the last seven years for a litany of misdeeds that has scarred the industry and is delaying its rehabilitation. The misconduct bill is expected to rise by tens of billions more dollars, and many politicians, regulators and industry observers said more needs to be done to deter wrongdoing. "Some things have changed, but I'd be pessimistic of a complete shift in culture without more measures being taken," said Mark Taylor, dean of the business school at the University of Warwick in central England.
German Chancellor Angela Merkel on Friday added urgency to the talks between Athens and its international creditors, saying after a meeting with Greek counterpart Alexis Tsipras that "very, very intensive ...
European Central Bank chief Mario Draghi said the economic outlook for the euro zone looks "brighter today than it has done for seven long years."
European Central Bank head Mario Draghi says governments that share the euro currency shouldn't wait for better times to push through reforms that would boost sluggish growth. Draghi said tough measures ...
Asia shares rose after Wall Street set another record high with prospects for a Federal Reserve rate hike in June all but quashed.
Every politician wants to help small business. Here's why they consistently fail.
Mad Money host Jim Cramer explains why he believes healthcare is the best group in town.