Paul Gruenwald, Chief Economist, Asia Pacific at Standard & Poor's, discusses key risk scenarios and growth opportunities for Asia in 2014.» Read More
Stocks closed sharply lower as rising bond yields signaled a tougher global credit environment. "It was a pretty ugly day," said Tom Schrader, managing director of U.S. listed trading at Stifel Nicolaus. "The market needed a washout and we got one. It was caused by higher rates, which is not good for the carry trade, LBOs and M&A."
Fewer workers signed up for unemployment aid last week, underscoring stability in the labor market, and inventories at U.S. wholesalers picked up in April in a sign businesses are preparing for more demand later this year.
This meeting of the world's richest nations may be the most challenging one for the U.S. in years, given the growing power of Russia and China.
Investors' expectations of an interest rate cut--and home buyers' hopes for cheaper mortgages--seem to be disappearing. The yield on the Treasury's 10-year note passed 5%, and some market watchers say the yield is likely to climb higher. That will make it even harder for consumers to finance home puchases and companies to borrow.
The dollar strengthened broadly as a rise in U.S. Treasury yields above 5% boosted demand for the U.S. currency, while news that North Korea fired short-range missiles off its coast hurt the yen.
World leaders meeting in Germany have agreed to pursue "substantial" cuts in greenhouse gas emissions and integrate U.S. climate plans within the established U.N. process, an EU source said.
The Bank of England left its core interest rate on hold at 5.5% Thursday, as widely expected by economists.
French President Nicolas Sarkozy told world leaders on Thursday that China should adopt international currency exchange norms and open its internal markets to foreign companies, a French source said.
The Australian dollar rose to a fresh 17-year high on Thursday after the second straight month of stronger-than-expected domestic jobs data fuelled concerns the central bank might increase interest rates in the near term.
Australian employment surged way past all expectations for a second straight month in May, driving the jobless rate to 33-year lows and fuelling concerns the drum-tight labor market would eventually stoke inflation.
New Zealand's central bank raised interest rates on Thursday by a quarter of a point to 8%, the highest among industrialized countries, saying it was worried robust consumer demand would further fuel inflation.
Stocks closed lower for the second straight session after the latest productivity data renewed inflation concerns and a rate hike in Europe fueled jitters about rising interest rates. "I think what we're seeing here is a correction after a fantastic run," said Larry Kantor, co-head of research at Barclays Capital.
Michael Morris, chairman of Business Roundtable’s Energy Taskforce and chairman and CEO of American Electric Power, told CNBC’s “Street Signs” that a world-wide plan is needed to attack global warming.
Big business is on the back burner at the Group of Eight summit. Instead of focusing on concerns about hedge funds, fluctuating currencies and better transparency in financial dealings, the world's eight wealthiest nations are putting their full focus on climate change and watching to see if a new spat between the U.S. and Russia could develop into another cold war.
U.S. worker productivity grew at a slower than first estimated 1% annualized pace during the first quarter as the economy just inched ahead, driving up labor costs by 1.8% and backing fears inflation remains a concern, a government report on Wednesday showed.
Fading prospects of a rate cut by the Fed and no signs from the European Central Bank that it would continue to tighten monetary policy beyond 2007 lifted the dollar against the euro.
The White House remains optimistic about the U.S. economy, despite its forecast that the gross domestic product will drop from 2.9% to 2.3% for 2007. Chairman of the Council of Economic Advisors Edward Lazear shared his insights with CNBC’s Liz Claman on “Morning Call.”
The European Central Bank raised its core interest rate to 4% from 3.75% Wednesday, as widely expected, but ECB President Jean-Claude Trichet refrained from using the now-familiar phrase "extreme vigilance" to signal further rate hikes.
Police used water cannon to disperse groups of protesters trying to disrupt a Group of Eight (G8) meeting of world leaders on Wednesday, police said.