ECONOMY & MARKETS

Malaysia's economic growth likely gathered pace in the last quarter, driven by stronger demand following a relaxation of COVID-19 measures, but a prolonged slowdown in China could have significant knock-on effects, a Reuters poll found.

Britain is on course to enter a technical recession in the second half of this year and faces a big hit to living standards from surging prices, an economic think-tank said on Wednesday.

If the Federal Reserve sells any of its holdings of mortgage backed securities it may have to do so at a loss, Cleveland Federal Reserve bank President Loretta Mester said Tuesday, a potentially difficult problem for the central bank, at least politically, since it remits its annual profits to the U.S.

Inflation will need to show a "compelling" slowdown before the Federal Reserve can consider pausing its interest rate increases, Cleveland Federal Reserve President Loretta Mester said Tuesday, with the risks currently pointed towards a tougher fight to bring the pace of price increases under control.

Interest rate jitters keep hammering the U.S. bond market but some investors are starting to think a possible slowdown in price pressure as well as support from yield-seeking buyers could soon put a ceiling - or at least a pause - on rising yields.

In the wake of the 50-basis-point interest rate hike by an increasingly hawkish Federal Reserve, markets have gyrated wildly ahead of this week's U.S.

The rise in European bond yields is alarming some economists, who warn that Italy and Greece in particular do not have much wiggle room before their debt servicing burden starts rising, rekindling memories of the 2011-2012 euro debt crisis.

Wall Street's main indexes fell in volatile trading on Tuesday dragged down by banks and some megacap growth stocks as investors fretted over prospects of aggressive monetary tightening and slowing economic growth.

The S&P 500 and Nasdaq ended higher on Tuesday, with big growth shares rising after the previous day's selloff as Treasury yields tumbled.

Wall Street's main indexes climbed on Tuesday, as investors bought beaten-down megacap growth stocks after a three-day sell-off on concerns over aggressive monetary tightening and slowing economic growth.

Wall Street's main indexes were set to open higher on Tuesday, with investors buying into beaten-down banks and megacap growth stocks after a three-day selloff on concerns around aggressive monetary tightening and slowing economic growth.

The S&P 500 and Nasdaq ended higher on Tuesday, with big growth shares rising after the previous day's selloff as Treasury yields eased.

Japanese policymakers were forced to reassure markets on Tuesday the government was not forcing the Bank of Japan to bank-roll public debt, after former premier Shinzo Abe described the central bank as a government "subsidiary" that can fund its spending indefinitely.

Britain said on Tuesday it will require its regulators to help the City of London remain a globally competitive financial centre after being largely cut off from the European Union due to Brexit.

Faced with runaway inflation, Canada's central bank has taken the rare step of providing guidance on the path of interest rates, as it aims to keep expectations anchored while it unwinds stimulus in an overheating economy.

Emerging market debt and equity portfolios saw foreign investor outflows for a second straight month in April, data from the Institute of International Finance showed on Tuesday, building on record outflows from China in the first quarter.

KKR and BlackRock have received Chinese regulatory approvals allowing their newly formed local units to raise funds for investing overseas, official filings showed.

South Korea's central bank got ahead of the tightening curve last year but now faces pressure to move faster and farther as the weakening won fuels inflation and the U.S.

India's retail inflation likely surged to an 18-month high in April, largely driven by rising fuel and food prices and staying well above the Reserve Bank of India's upper tolerance limit for a fourth consecutive month, a Reuters poll found.

The Bank of Japan has no plan to allow long-term interest rates to move more widely around its 0% target to stem sharp falls in the yen, a central bank executive said on Tuesday, saying such a move would be tantamount to a rate hike.

European stock indexes opened higher on Tuesday, with risk appetite showing some recovery after Monday's sharp falls, but analysts said fears over lower growth were still weighing on markets.

Asian equities slipped to the lowest in nearly two years on Tuesday, before trimming losses, as investors fretted about the toxic cocktail of rising interest rates and weaker economic growth.

Asian shares tumbled to their lowest in nearly two years on Tuesday as investors shed riskier assets on worries about higher interest rates and their impact on economic growth, while the dollar held near 20-year highs.

European stock indexes rose on Tuesday as risk appetite showed some signs of picking up again after Monday's sharp falls, but fears over economic growth still weighed on markets, pushing oil prices lower.

Wall Street stocks turned lower in a volatile session and oil prices fell on Tuesday with risk appetite appearing to falter as investors turned to safe havens such as Treasuries amid fears about inflation and slowing economic growth.

South Korea's new president, Yoon Suk-yeol, said on Tuesday that North Korea's weapons programmes pose a threat but that he is ready to provide an "audacious" economic plan if the North is committed to denuclearisation.

Oil prices tumbling more than 1% on Tuesday, extending the previous day's steep declines as coronavirus lockdowns in top oil importer China, a strong dollar and growing recession risks fed worries about the outlook for global demand.

The U.S. crude oil price dipped below $100 a barrel on Tuesday to its lowest level in two weeks as the demand outlook was pressured by coronavirus lockdowns in China and growing recession risks, while a strong dollar made crude more expensive for buyers using other currencies.

Oil prices edged lower in early Asian trade on Tuesday, adding to a 6% slump in the previous session, as coronavirus lockdowns in top oil importer China and potential economic ructions in Europe fed worries about the demand outlook.