According to Odaily, the United States Producer Price Index (PPI) increased by 0.2% from the previous month and saw a year-over-year rise of 2.6%. The June PPI monthly rate was 0.2%, surpassing the expected 0.10% and improving from the previous value of -0.20%. The annual rate for June PPI stood at 2.6%, higher than the anticipated 2.30% and the prior 2.20%.
According to Odaily, the Hong Kong Monetary Authority (HKMA) has issued a notice to banks and licensed stored value facility holders. The notice details the results of a meeting held last month by its Financial Action Task Force (FATF), identifying jurisdictions with strategic deficiencies in their systems for combating money laundering, terrorist financing, and proliferation financing.The HKMA stated that the FATF has completed its fifth targeted review of virtual assets and virtual asset service providers, implementing relevant anti-money laundering measures. The task force will continue to monitor market trends and watch for significant developments that may require further action. The report on this review will be published in the coming weeks.
According to Odaily, Mary Daly, a representative of the US Federal Reserve, she expressed her growing confidence in the need for early relaxation of monetary policy during a phone conference with the media. This belief is based on recent inflation and employment data. 'Considering the information we have received so far, including data on employment, inflation, GDP growth, and economic prospects, I believe some policy adjustments may be necessary,' Daly stated. However, she declined to specify when she believes it would be appropriate for the Federal Reserve to cut interest rates.Daly has publicly stated that she does not believe prescriptive forward guidance, including the number and timing of rate cuts, is the best approach at this critical time. She pointed out that the risks faced by the Federal Reserve's dual goals of price stability and full employment have been better balanced. She believes that monetary policy is taking effect, but there is still 'considerable uncertainty' about how the economy will develop.
According to BlockBeats, on July 12, the Chairman of the US Federal Reserve in Chicago, Charles Evans, expressed that the inflation report for June was outstanding. He suggested that a rate cut or a series of rate cuts could be considered based on the data.Evans reassured that there is no need to panic about the unemployment situation as the job market is stable. He emphasized the importance of flexibility in policy decisions, stating that it is necessary to decide when to cut rates, rather than trying to predict the interest rate path for the next seven months.This statement indicates a potential shift in the Federal Reserve's approach to monetary policy, with a focus on responding to current economic conditions rather than attempting to forecast future trends. This could have significant implications for the US economy and financial markets.
According to Odaily, the United States Securities and Exchange Commission (SEC) has decided to abandon its investigation into PAXOS. The regulatory body has also determined that BUSD does not fall under the category of securities. This decision marks a significant development in the ongoing discussions surrounding the classification of digital assets. The SEC's decision to halt its investigation into PAXOS and its ruling on BUSD could potentially influence future regulatory decisions regarding other digital assets. However, it is important to note that the SEC's decisions are subject to change and may not necessarily set a precedent for future cases. The regulatory landscape for digital assets remains complex and evolving, with each case being evaluated on its own merits.
According to BlockBeats, the general inflation in the United States cooled down in June, further boosting the confidence of Federal Reserve officials that a rate cut could be imminent. Data from the US Bureau of Labor Statistics showed that the core Consumer Price Index (CPI), excluding food and energy costs, rose by 0.1% compared to May, marking the smallest increase since August 2021.Data released on Thursday showed that the index rose by 3.3% year-on-year, the lowest increase in over three years. Economists believe that the core index reflects potential inflation more accurately than the overall CPI. Due to the drag of falling gasoline prices, the overall CPI fell by 0.1% compared to the previous month and fell by 3% compared to the same period last year, marking the first decline since the outbreak of the COVID-19 pandemic.
According to Odaily, following the release of the Consumer Price Index (CPI) data, traders are predicting a 25% chance of the Federal Reserve implementing a third 25 basis point rate cut within the year. This speculation is based on the recent economic indicators and the central bank's monetary policy. The Federal Reserve has already implemented two rate cuts this year in an attempt to stimulate the economy. The potential third cut would further decrease the cost of borrowing, potentially stimulating further economic growth. However, it's important to note that these are predictions and the actual decision will depend on various factors including the state of the economy and inflation rates.
According to BlockBeats, the number of initial unemployment claims in the United States for the week ending July 6th was 222,000. This figure is lower than the anticipated 236,000 and the previous value of 238,000. The decrease in initial unemployment claims suggests an improvement in the US job market. However, the exact impact of this decrease on the overall economy is yet to be determined. Further analysis and monitoring of the job market trends are required to understand the full implications of these numbers.
According to PANews, Terraform Labs, currently in bankruptcy, is looking to sell its four subsidiaries in order to fulfill a $4.5 billion settlement agreement with the U.S. Securities and Exchange Commission (SEC) and gradually cease operations. The four companies in question are Pulsar Finance, a portfolio tracking platform, Station, a cryptocurrency wallet platform, Enterprise, a no-code decentralized autonomous organization (DAO) management platform, and Warp, a smart contract automation protocol.
According to Odaily, Jerome Powell, the Chairman of the US Federal Reserve, testified before the US House Financial Services Committee on Wednesday. During the session, Congressman Josh Gottheimer questioned Powell about the US SEC's Staff Accounting Bulletin (SAB) 121. This directive requires banks to include digital assets held in custody in their balance sheets, significantly increasing the cost of providing digital asset custody services.Gottheimer referred to Powell's previous statement that custodial assets do not belong on balance sheets and have always been treated as such. Powell generally confirmed this stance but refrained from commenting on the SEC's policy, stating that it falls within the SEC's jurisdiction. Critics argue that SAB 121 weakens banks' ability to provide secure digital asset custody, pushing these services towards entities with less regulation and increasing consumer risk.Lawmakers have proposed overturning SAB 121 due to its negative impact. Despite the US Congress passing the first standalone cryptocurrency legislation to overturn SAB 121, President Biden vetoed the bill, emphasizing the need to establish a regulatory framework for digital assets.