News

U.S. judges have not yet issued an injunction to prevent the Trump administration from enforcing its latest executive order restricting birthright citizenship.

1. Forward Guidance – The role of forward guidance should be limited; transparency in communication regarding future policy decisions is not an end in itself; excessive sharing of policy discussions and over-promising about future decisions can mislead markets, businesses, and households. 2. Inflation – It is essential to be certain that underlying inflation is moving toward the target, otherwise "there is still work to be done"; inflation data does not show a significant improvement in the trend; medium-term inflation expectations remain generally stable. 3. Economic Issues – The likelihood of significantly higher economic growth is increasing; Main Street and Wall Street have shown remarkable resilience; the labor market is quite stable. 4. Policy Objectives – The Fed's 2% PCE target is a firm and fixed objective; the Fed's primary focus should currently be on prices. 5. Interest Rates – Credit and lending markets show little sign of policy tightening; current financial conditions are not restrictive, and interest rates are the Fed's "primary tool" for fulfilling its mandate. 6. Artificial Intelligence – Artificial intelligence is a new variable that will impact the economy and policy implementation. 7. Reforms – Early communication with the leaders of the various working groups is encouraging.

The yield on UK two-year government bonds rose 5 basis points to 4.41%, following the rise in US Treasuries.

Market news: Sources say that Russia's gasoline production fell to about 70% of domestic consumption by the end of August.

Amazon (AMZN.O) rose 4.2%, leading the gains among the "Big Seven" U.S. stocks.

U.S. stock indexes continued their upward trend, with the S&P 500 up 0.5% and the Nasdaq 100 up nearly 0.4%.

U.S. Treasury Department: We have identified the networks, intermediaries, and funding channels that Iran uses to smuggle oil and circumvent sanctions.

The S&P 500 and Nasdaq 100 indices rose to intraday highs, currently up 0.3% and 0.1% respectively.

U.S. Treasury Secretary Bessant: We have also warned that any entity assisting Iran will not be allowed continued access to the dollar and the global financial system. The UAE branch of Egypt's Misr Bank has decided to "learn the lesson" from this warning. Today, we are taking the first step in holding them accountable in response to their continued and egregious support of the Iranian regime.

U.S. Treasury Secretary Bessenter: The Treasury Department pledged to cut off every remaining economic lifeline of Tehran, ultimately ending the threat to the Iranian regime.

The Russian Foreign Ministry stated that it has not received any proposals from Ukraine or other parties to resume negotiations.

The U.S. Treasury Department announced plans to suspend the financial access of an Egyptian bank branch in the United Arab Emirates to the U.S. financial system.

Federal Reserve Chairman Warsh: The credit and lending markets have shown little sign of policy tightening.

Federal Reserve Chairman Warsh: Business investment is growing rapidly.

The spread between the yields on 2-year and 10-year U.S. Treasury bonds narrowed to 39 basis points, the narrowest level since July 29.

The U.S. Treasury Department website released a new round of sanctions related to Iran.

The U.S. Treasury Department has imposed restrictions on an Egyptian bank because of its trade with Iran.

The yield on the two-year U.S. Treasury note rose to 4.286%, its highest level since July 31.

U.S. stock indexes fell in the short term, with the S&P 500 roughly flat and the Nasdaq down 0.15%.

Federal Reserve Chairman Warsh: The labor market is quite stable.