Forex News

The Central Bank of the Dominican Republic kept its benchmark interest rate unchanged at 5.75% during its May 2025 meeting, following a cumulative reduction of 125 basis points since the second half of 2024. This decision reflected both global and domestic factors, including persistent global uncertainty, elevated interest rates in the US—especially on long-term instruments—and inflation that remains within the target range of 4.0% ± 1.0%. In April 2025, headline inflation stood at 3.71%, while core inflation, more closely tied to monetary policy, was 4.13%, suggesting continued price stability.The BCRD expects general and core inflation to remain within target through 2025 and 2026. It has also managed liquidity and supported financial stability, while strong exports, remittances, and foreign investment have strengthened the peso and boosted reserves.

The Ibovespa fell 1% to close at 137,120 on Friday, marking its third consecutive decline as investors digested fresh economic data and renewed trade policy concerns. Brazil’s GDP grew 1.4% in the first quarter from the previous period, roughly in line with expectations and a notable acceleration from Q4, reinforcing the case for the central bank to keep its already restrictive interest rate in place—one of the highest in real terms globally. Meanwhile, the trade outlook darkened after US courts reinstated previously suspended tariffs and President Trump signaled new barriers against China. Key stocks weighed on the index, with Vale down 2% and Petrobras slipping 0.6%, while major banks also closed in the red. Political tensions surrounding the government's plan to raise the Tax on Financial Transactions added to market unease. For the week, the Ibovespa declined 0.5%.

The S&P/TSX Composite edged lower by 0.1% to close at the 26,175 mark on Friday, pulling back slightly for second day after hitting a record high on Wednesday. The decline came as stronger-than-expected economic data reinforced expectations that the Bank of Canada will hold interest rates steady at its meeting next week. Canada’s GDP grew at an annualized rate of 2.2% in the first quarter, outpacing forecasts of 1.7% growth. However, much of the expansion was driven by a front-loading of exports and business inventories—partly in anticipation of potential US tariffs—while domestic demand remained soft amid ongoing economic uncertainty and the lagging effects of high interest rates. The solid data prompted rate traders to increase bets on a pause in policy easing. Bank stocks were mixed following a busy earnings week: RBC, CIBC, and Scotiabank each rose around 0.5%, while TD Bank edged lower. For the week, the TSX advanced 0.6%.

US stocks wavered on Friday, capping a volatile but strong May as investors weighed renewed trade tensions with China and cooling inflation data. The S&P 500 ended near flat after falling over 1% intraday, while the Nasdaq slid 0.4% and the Dow added 53 points. Market swings were triggered after President Trump accused China of breaching their recent trade deal, with further pressure reports that the administration plans to expand tech curbs targeting Chinese firms. Trade talks appeared stalled, and legal uncertainty surrounding Trump’s tariff strategy added to investor unease. Meanwhile, the Fed’s preferred inflation gauge showed cooling price pressures, offering some relief. On the earnings front, Costco (+3.1%) and Ulta Beauty (+11.8%) gained on strong results, but Gap tumbled 20.2% after weak sales guidance. The S&P 500 closed May with a gain of 6.2%, while the Nasdaq booked a 9.6% surge—both booked their best month since November 2023. The Dow rose 3.9% this month.

Lockheed Martin increased to a 4-week high of 481.00 USD. Over the past 4 weeks, Lockheed Martin gained 0.31%, and in the last 12 months, it increased 2.27%.

WTI crude oil futures slipped 0.2% to settle at $60.80 per barrel on Friday, capping a weekly loss of over 1% as trade tensions and supply concerns pressured prices. President Trump reignited fears by accusing China of violating a recent tariff truce, stoking uncertainty ahead of the weekend’s OPEC+ meeting. The group is expected to decide July output levels, with reports suggesting a potential hike beyond the previously agreed 411,000 barrels per day. Key producers like Saudi Arabia and Russia are reportedly pushing for a larger increase to regain market share and discipline overproducing members. Kazakhstan’s refusal to curb output has further strained group unity. The prospect of extra barrels hitting the market has already weighed on prices, amplifying worries about a potential oversupply.

Uruguay posted a trade deficit of $91.76 million in April 2025, narrowing sharply from the $338.04 million shortfall a year earlier and marking the eighth consecutive monthly deficit. Exports rose 4.9% year over year to $839.67 million, supported by a 9.2% increase in primary goods and a 3.1% gain in manufactured goods, while public services exports dropped to zero. Imports declined 19.2% to $931.43 million, driven by a 29.6% drop in intermediate goods and a 6.4% fall in capital goods, with consumer goods holding steady.

US equities pared most of their earlier losses in late trading on Friday, after Donald Trump said he expected talks with Xi Jinping, following accusations that China breached a trade deal. The S&P 500 erased most of a 1.2% drop, the Nasdaq 100 down 0.3%, while the Dow added 100 points. President Trump claimed China had "totally violated" its trade agreement with the US, fueling fears of a prolonged dispute. Chipmakers led tech declines, with Nvidia, AMD, Micron, and Intel all falling over 1.5%. Meanwhile, the Fed’s preferred inflation gauge showed cooling price pressures, offering some relief. On the earnings front, Costco (+4.1%) and Ulta Beauty (+11.5%) gained on strong results, but Gap tumbled nearly 20% after weak sales guidance. The S&P 500 is up over 5% this month, the Nasdaq has jumped 9.5%, both on track for their best month since November 2023, and the Dow has gained 3%.

Ether came under pressure today, posting a -2.16% decline.

Top commodity gainers are Cocoa (6.47%), Orange Juice (1.94%) and Rice (0.98%). Biggest losers are Rubber (-2.53%), Coffee (-1.82%) and Canola (-1.63%).

Top commodity losers are Platinum (-2.12%), Silver (-1.13%) and Gold (-0.78%). Gains are led by Copper (0.53%).

Marsh & McLennan Companies increased to a 6-week high of 233.13 USD. Over the past 4 weeks, Marsh & McLennan Companies gained 3.89%, and in the last 12 months, it increased 12.25%.

Top commodity losers are Natural Gas UK GBP (-4.66%), Natural Gas EU Dutch TTF (-3.39%), Heating Oil (-2.07%), Brent Crude Oil (-0.96%) and Crude Oil WTI (-0.38%).

The Canadian dollar strengthened past the 1.38 per USD mark, approaching the seven-month high 1.37 touched on May 26th as strong data drove markets to pare the magnitude of rate cuts by the Bank of Canada. The Canadian GDP expanded at an annualized rate of 2.2% on first quarter, well above estimates of a 1.7% increase. Even though most of the support was owed to strong exports and inventories on front-loading of deliveries ahead of US tariffs, the result still backed other data pointing to robustness in the Canadian economy. Consistently, retail sales expanded sharply for a second month. Bet of a less-dovish BoC were magnified by the hot inflation print for April, as the trimmed-mean core rate unexpectedly rose to its highest in one year.

US stocks extended losses in afternoon trading despite a strong monthly rally, weighed down by tech shares as renewed US-China trade tensions rattled markets. The S&P 500 was down 1%, the Nasdaq 100 slid 1.5%, while the Dow fell more than 200 points. President Trump claimed China had "totally violated" its trade agreement with the US, fueling fears of a prolonged dispute. Legal uncertainty also resurfaced after a court ruling temporarily blocked Trump’s tariffs, though an appeals court later issued a stay. Chipmakers led tech declines, with Nvidia, AMD, Micron, and Intel all falling over 2%. Meanwhile, the Fed’s preferred inflation gauge showed cooling price pressures, offering some relief. On the earnings front, Costco (+3.6%) and Ulta Beauty (+11.5%) gained on strong results, but Gap tumbled nearly 20% after weak sales guidance. Despite Friday’s pullback, May marked a strong month overall, with the S&P 500 gaining over 5%, the Nasdaq surging nearly 10%, and the Dow rising 3%.

Chubb increased to an 8-week high of 296.05 USD. Over the past 4 weeks, Chubb gained 4.24%, and in the last 12 months, it increased 9.09%.

Markets are preparing for another volatile week, driven by renewed tariff threats following President Trump's accusations that China violated a preliminary trade agreement with the US. Investor focus will be alos on US labor market report, alongside ISM Manufacturing and Services PMIs, speeches by Fed officials, JOLTS job openings, factory orders, and foreign trade data. Interest rate announcements are expected from the European Central Bank, Bank of Canada, and Reserve Bank of India. Key inflation readings are due from the Euro Area, South Korea, Switzerland, and Turkey. Meanwhile, GDP growth data from Switzerland, South Africa, and Australia will be closely watched. April foreign trade figures from Australia, Canada, Brazil, Germany, and France are on tap, alongside a flurry of global PMI releases — including manufacturing data from South Korea, Russia, Italy, Spain, Canada, and China, and services data from Spain, Italy, Brazil, and China.

Costco Wholesale increased to a 12-week high of 1047.00 USD. Over the past 4 weeks, Costco Wholesale gained 5.05%, and in the last 12 months, it increased 28.22%.

The unemployment rate in Colombia fell to 8.8% in April 2025 from 10.64% in the same month a year earlier, marking the lowest level since November 2024. The employed population increased by 711,000 to 23.576 million compared to a year earlier. The labor force participation rate fell to 64.0% from 63.7% a year earlier, while the employment rate rose to 58.1% from 57.2%.

Canada’s government posted a budget deficit of CAD 23.9 billion in March 2025, down from CAD 33.6 billion in March 2024. The improvement was driven by a CAD 5.9 billion (15.2%) increase in revenues, primarily due to higher corporate income tax collections. Program expenses, excluding net actuarial losses, fell by CAD 3.2 billion (4.7%), largely due to the timing of transfers to provinces, territories, and municipalities, partially offset by increased transfers to individuals. Public debt charges declined by CAD 0.3 billion (6.5%) as lower interest rates on treasury bills and net interest from cross-currency swaps outweighed the impact of a larger stock of marketable bonds. For the full fiscal year 2024–25 (April to March), the federal budget deficit stood at CAD 43.2 billion, compared to CAD 50.9 billion in the previous year.