BOJ Signals More Rate Hikes as Inflation Risks Rise Amid Energy Price Pressures 
Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
ECB Set to Raise Interest Rates as Energy Shock Fuels Eurozone Inflation Concerns 
Japan Signals Surprise Yen Intervention Strategy as BOJ Hawkish Stance Puts FX Traders on Alert 
New Zealand Unemployment and Inflation Debate Intensifies Ahead of 2026 Election 
Mary Daly Says AI Uncertainty Clouds Fed Rate Outlook Despite Restrictive Policy 
BOJ Hawk Signals Faster Interest Rate Hikes Amid Inflation Risks 
China Sets 1.25% Overnight Reverse Repo Rate Below Market Expectations 
Market should listen!
Several policymakers in past several days, weeks have warned about June meeting being alive and there could be two or three rate hikes on the table. Names include, Boston FED chief Rosengren, Kansas city FED Chief Esther George, San Francisco FED President Williams and Atlanta city FED supreme Lockhart. Now Bill Dudley, President of New York city FED, and a permanent voting member in FOMC joined these relative hawks in tabling the summer hikes.
Like his colleagues, Mr. Dudley felt too that market is over pessimistic in their hike expectations. While the members are warning two or three hikes, Market is still pricing one and that in July and marginally. He expects second quarter to be stronger compared to first one, which will be sufficient for FED to hike in summer.
However, he maintained Federal Reserve’s official position that any hike will be data dependent and in regard to that policymakers will have to gauge the impact of British referendum over financial markets and economy over the coming weeks.
Dollar index is currently trading at 95.3, up 0.02% so far today.
