Connect with us

Published

2 years ago

on

The US economy’s strength and continued tight labor markets could warrant further Federal Reserve interest rate increases, Fed Chair Jerome Powell said on Thursday in remarks that appeared to push back against market expectations that the central bank’s rate hikes had reached an end.

“We are attentive to recent data showing the resilience of economic growth and demand for labor. Additional evidence of persistently above-trend growth, or that tightness in the labor market is no longer easing, could put further progress on inflation at risk and could warrant further tightening of monetary policy,” Powell said in remarks to the Economic Club of New York.

For inflation to durably return to the Fed’s 2% target, it “is likely to require a period of below-trend growth and some further softening in labor market conditions,” Powell said.

Since the Fed began raising interest rates in March of 2022 the unemployment rate has varied little from the current 3.8%, below the level most Fed officials feel is noninflationary, and overall economic growth has generally remained above the 1.8% annual growth rate Fed officials see as the economy’s underlying potential.

The Fed is “proceeding carefully” in evaluating the need for any further rate increases, Powell said, likely leaving intact current expectations that the Fed will leave its benchmark policy rate steady at the current 5.25% to 5.5% range at the upcoming Oct. 31-Nov. 1 meeting.

There is evidence the labor market is cooling, Powell said, with some important measures approaching levels seen even before the pandemic.

Powell also noted a number of fresh “uncertainties and risks” that need to be accounted for as the Fed tries to balance the threat of allowing inflation to rekindle against the threat of leaning on the economy more than is necessary.

Those include new geopolitical risks to the economy from the “horrifying” attack on Israel by the Palestinian militant Hamas group, Powell said.

“Our institutional role at the Federal Reserve is to monitor these developments for their economic implications, which remain highly uncertain,” Powell said. “Speaking for myself, I found the attack on Israel horrifying, as is the prospect for more loss of innocent lives.”

He also noted recent market-driven increases in bond yields that have helped to “significantly” tighten overall financial conditions.

“Persistent changes in financial conditions can have implications for the path of monetary policy,” Powell said, with higher market-based interest rates, if sustained, doing the same job as Fed rate increases.

But the Fed chair also voiced what has become a lingering theme at the central bank: That despite steady progress on lowering inflation, the battle isn’t over, with further rate increases still a possibility and the duration of tight monetary conditions still to be determined.

“Inflation is still too high, and a few months of good data are only the beginning of what it will take to build confidence that inflation is moving down sustainably toward our goal,” Powell said, citing the progress made since inflation peaked last year but also noting that one of the Fed’s main measures of inflation remained at 3.7% through September, nearly twice the central bank’s target.

“We cannot yet know how long these lower readings will persist, or where inflation will settle over coming quarters,” Powell said. “The path is likely to be bumpy and take some time…My colleagues and I are united in our commitment to bringing inflation down sustainably to 2%.”

The weeks since the Fed’s September meeting have been unusually turbulent, with worries about regional war in the Middle East rising and bond markets driving market interest rates higher, tightening the financial conditions faced by businesses and households somewhat independent of the Fed.

Data since the Fed’s last meeting also has shown US job growth reaccelerating unexpectedly, retail sales defying predictions of a slowdown and varying measures of prices offering inconsistent signals about whether inflation is on track to return to the Fed’s 2% target in a timely manner.

Powell’s appearance comes less than 48 hours before the beginning of the traditional quiet period ahead of the rate-setting Federal Open Market Committee’s meeting on Oct. 31-Nov. 1. While a handful of other Fed officials have appearances later on Thursday and Friday before blackout begins on Saturday, it is Powell’s remarks that will set the tone for policy expectations heading into that meeting.

Should they leave rates unchanged in two weeks as is now widely expected, it would mark the first back-to-back meetings with no rate increase since the Fed kicked off its hiking campaign in March 2022.

A Reuters poll of more than 100 economists published on Wednesday showed more than 80% expect no rate hike at the next meeting, and most also believe the Fed is done with rate hikes even though a majority of policymakers at their September meeting projected one more quarter-point increase was likely to be needed by year end.

Many in the poll offered the caveat that if progress on inflation stalls out or reverses, the Fed would not hesitate to resume raising rates.

Related Topics:
Continue Reading

Entertainment

BST Hyde Park’s final day cancelled as Jeff Lynne’s ELO pulls out of headline slot

Published

55 mins ago

on

July 13, 2025

By

BST Hyde Park's final day cancelled as Jeff Lynne's ELO pulls out of headline slot

BST Hyde Park festival has cancelled its final night after Jeff Lynne’s Electric Light Orchestra pulled out of the headline slot.

Lynne, 77, was due to play alongside his band on Sunday but has been forced to withdraw from the event following a “systemic infection”.

The London show was supposed to be a “final goodbye” from ELO following their farewell US tour.

Organisers said on Saturday that Lynne was “heartbroken” at being unable to perform.

A statement read: “Jeff has been battling a systemic infection and is currently in the care of a team of doctors who have advised him that performing is simply not possible at this time nor will he be able to reschedule.

“The legacy of the band and his longtime fans are foremost in Jeff’s mind today – and while he is so sorry that he cannot perform, he knows that he must focus on his health and rehabilitation at this time.”

They later confirmed the whole of Sunday’s event would be cancelled.

“Ticket holders will be refunded and contacted directly by their ticket agent with further details,” another statement said.

Stevie Wonder played the festival on Saturday – now its final event of 2025.

Read more from Sky News:
Scotland, Wales and Northern Ireland record hottest days of year
Tennis star in tears after Wimbledon final drubbing

US rock band The Doobie Brothers and blues rock singer Steve Winwood were among those who had been due to perform to before ELO’s headline performance.

The cancellation comes after the band, best known for their hit Mr Blue Sky, pulled out of a performance due to take place at Manchester’s Co-Op Live Arena on Thursday.

ELO was formed in Birmingham in 1970 by Lynne, multi-instrumentalist Roy Wood and drummer Bev Bevan.

They first split in 1986, before frontman Lynne resurrected the band in 2014.

Continue Reading

Sports

2025 MLB Home Run Derby: The field is set! Who is the slugger to beat?

Published

56 mins ago

on

July 13, 2025

By

2025 MLB Home Run Derby: The field is set! Who is the slugger to beat?

Jul 11, 2025, 08:19 PM ET

The 2025 MLB All-Star Home Run Derby is fast approaching — and the field is set.

Braves hometown hero Ronald Acuna Jr. became the first player to commit to the event, which will be held at Truist Park in Atlanta on July 14 (8 p.m. ET on ESPN). He was followed by MLB home run leader Cal Raleigh of the Seattle Mariners, James Wood of the Washington Nationals, Byron Buxton of the Minnesota Twins, Oneil Cruz of the Pittsburgh Pirates, Junior Caminero of the Tampa Bay Rays, Brent Rooker of the Athletics and Jazz Chisholm Jr. of the New York Yankees.

On Friday, however, Acuna was replaced by teammate Matt Olson.

With all the entrants announced, let’s break down their chances at taking home this year’s Derby prize.

Full All-Star Game coverage: How to watch, schedule, rosters, more

2025 home runs: 17 | Longest: 434 feet

Why he could win: Olson is a late replacement for Acuna as the home team’s representative at this year’s Derby. Apart from being the Braves’ first baseman, however, Olson also was born in Atlanta and grew up a Braves fan, giving him some extra motivation. The left-handed slugger led the majors in home runs in 2023 — his 54 round-trippers that season also set a franchise record — and he remains among the best in the game when it comes to exit velo and hard-hit rate.

Why he might not: The home-field advantage can also be a detriment if a player gets too hyped up in the first round. See Julio Rodriguez in Seattle in 2023, when he had a monster first round, with 41 home runs, but then tired out in the second round.

2025 home runs: 36 | Longest: 440 feet

Why he could win: It’s the season of Cal! The Mariners’ catcher is having one of the greatest slugging first halves in MLB history, as he’s been crushing mistakes all season . His easy raw power might be tailor-made for the Derby — he ranks in the 87th percentile in average exit velocity and delivers the ball, on average, at the optimal home run launch angle of 23 degrees. His calm demeanor might also be perfect for the contest as he won’t get too amped up.

Why he might not: He’s a catcher — and one who has carried a heavy workload, playing in all but one game this season. This contest is as much about stamina as anything, and whether Raleigh can carry his power through three rounds would be a concern. No catcher has ever won the Derby, with only Ivan Rodriguez back in 2005 even reaching the finals.

2025 home runs: 24 | Longest: 451 feet

Why he could win: He’s big, he’s strong, he’s young, he’s awesome, he might or might not be able to leap tall buildings in a single bound. This is the perfect opportunity for Wood to show his talent on the national stage, and he wouldn’t be the first young player to star in the Derby. He ranks in the 97th percentile in average exit velocity and 99th percentile in hard-hit rate, so he can still muscle the ball out in BP even if he slightly mishits it. His long arms might be viewed as a detriment, but remember the similarly tall Aaron Judge won in 2017.

Why he might not: His natural swing isn’t a pure uppercut — he has a pretty low average launch angle of just 6.2 degrees — so we’ll see how that plays in a rapid-fire session. In real games, his power is primarily to the opposite field, but in a Home Run Derby you can get more cheapies pulling the ball down the line.

2025 home runs: 20 | Longest: 479 feet

Why he could win: Buxton’s raw power remains as impressive as nearly any hitter in the game. He crushed a 479-foot home run earlier this season and has four others of at least 425 feet. Indeed, his “no doubter” percentage — home runs that would be out of all 30 parks based on distance — is 75%, the highest in the majors among players with more than a dozen home runs. His bat speed ranks in the 89th percentile. In other words, two tools that could translate to a BP lightning show.

Why he might not: Buxton is 31 and the Home Run Derby feels a little more like a younger man’s competition. Teoscar Hernandez did win last year at age 31, but before that, the last winner older than 29 was David Ortiz in 2010, and that was under much different rules than are used now.

2025 home runs: 16 | Longest: 463 feet

Why he could win: If you drew up a short list of players everyone wants to see in the Home Run Derby, Cruz would be near the top. He has the hardest-hit ball of the 2025 season, and the hardest ever tracked by Statcast, a 432-foot missile of a home run with an exit velocity of 122.9 mph. He also crushed a 463-foot home run in Anaheim that soared way beyond the trees in center field. With his elite bat speed — 100th percentile — Cruz has the ability to awe the crowd with a potentially all-time performance.

Why he might not: Like all first-time contestants, can he stay within himself and not get too caught up in the moment? He has a long swing, which will result in some huge blasts, but might not be the most efficient for a contest like this one, where the more swings a hitter can get in before the clock expires, the better.

2025 home runs: 23 | Longest: 425 feet

Why he could win: Although Caminero was one of the most hyped prospects entering 2024, everyone kind of forgot about him heading into this season since he didn’t immediately rip apart the majors as a rookie. In his first full season, however, he has showed off his big-time raw power — giving him a chance to become just the third player to reach 40 home runs in his age-21 season. He has perhaps the quickest bat in the majors, ranking in the 100th percentile in bat speed, and his top exit velocity ranks in the top 15. That could translate to a barrage of home runs.

Why he might not: In game action, Caminero does hit the ball on the ground quite often — in fact, he’s on pace to break Jim Rice’s record for double plays grounded into in a season. If he gets out of rhythm, that could lead to a lot of low line drives during the Derby instead of fly balls that clear the fences.

2025 home runs: 19 | Longest: 440 feet

Why he could win: The Athletics slugger has been one of the top power hitters in the majors for three seasons now and is on his way to a third straight 30-homer season. Rooker has plus bat speed and raw power, but his biggest strength is an optimal average launch angle (19 degrees in 2024, 15 degrees this season) that translates to home runs in game action. That natural swing could be picture perfect for the Home Run Derby. He also wasn’t shy about saying he wanted to participate — and maybe that bodes well for his chances.

Why he might not: Rooker might not have quite the same raw power as some of the other competitors, as he has just one home run longer than 425 feet in 2025. But that’s a little nitpicky, as 11 of his home runs have still gone 400-plus feet. He competed in the college home run derby in Omaha while at Mississippi State in 2016 and finished fourth.

2025 home runs: 17 | Longest: 442 feet

Why he could win: Chisholm might not be the most obvious name to participate, given his career high of 24 home runs, but he has belted 17 already in 2025 in his first 61 games after missing some time with an injury. He ranks among the MLB leaders in a couple of home run-related categories, ranking in the 96th percentile in expected slugging percentage and 98th percentile in barrel rate. His raw power might not match that of the other participants, but he’s a dead-pull hitter who has increased his launch angle this season, which might translate well to the Derby, even if he won’t be the guy hitting the longest home runs.

Why he might not: Most of the guys who have won this have been big, powerful sluggers. Chisholm is listed at 5-foot-11, 184 pounds, and you have to go back to Miguel Tejada in 2004 to find the last player under 6 foot to win.

Continue Reading

Sports

On Buxton bobblehead day, All-Star hits for cycle

Published

2 hours ago

on

July 12, 2025

By

On Buxton bobblehead day, All-Star hits for cycle

  • Associated Press

Jul 12, 2025, 05:06 PM ET

MINNEAPOLIS — Minnesota Twins All-Star center fielder Byron Buxton admitted to feeling a little added pressure before Saturday’s game against the Pittsburgh Pirates. It was his bobblehead day, meaning the first 10,000 fans to walk through the gates at Target Field would receive a replica of Buxton doing his “Buck Truck” home run celebration.

“I’d be lying if I said I wasn’t nervous before the game started, just knowing it was bobblehead day,” Buxton said. “Obviously you want to come out and do something good.”

Buxton did more than something good. He became the first player to hit for the cycle at Target Field since the ballpark opened in 2010, helping ignite the Twins to a 12-4 win over the Pirates.

It was the 12th cycle in Twins history and the first since Jorge Polanco had one in 2019.

Buxton had three hits through three innings — a single in the first, a triple in the six-run second and a double in the third. After singling again in the fifth, he had one more opportunity in the bottom of the seventh.

Buxton, who will participate in next week’s Home Run Derby in Atlanta, crushed a 427-foot solo homer off Pirates reliever Andrew Heaney with two outs in the seventh to make it an 11-3 game and complete the cycle. That brought the Target Field crowd to its feet, with many fans celebrating with Buxton bobbleheads.

With his team holding a comfortable lead, Twins manager Rocco Baldelli almost took Buxton out of the game before his final at-bat, he admitted afterward. Thankfully for Baldelli — and Buxton — a few coaches reminded the skipper what was at stake.

“He was 4 for 4 at the time. But with everything going on during a game, sometimes I’ll be the one that might miss on a hitting streak or something that’s going on with a particular player,” Baldelli said. “But once they reminded me of that, he was going to stay in the game. He was going to get another at-bat, regardless of the score, and give him a chance to do something great.”

The homer was Buxton’s 21st of the season, tied for fifth most in the American League. With two runs driven in Saturday, Buxton now has 55 RBIs on the season — just one shy of his single-season high. He boasts an OPS of .921 and is 17 for 17 in stolen bases.

“It’s one of the greatest first halves I’ve ever witnessed,” Baldelli said.

Buxton was replaced in center field after the seventh inning, but not before getting a standing ovation curtain call from Twins fans. He also received a Gatorade bath courtesy of teammate Ty France, who was headed to the clubhouse before realizing that nobody had doused Buxton yet after the game.

“It’s special,” Buxton said. “To be able to come out on bobblehead day like this and have a day like this is something I won’t forget.”

Continue Reading

Trending