US Economy Update: Benign PCE Report Meets Turbulent Political Climate - Forexlive Americas FX News Recap

Money | June 29, 2024, 8:34 a.m.

On the last day of the quarter, the markets displayed mixed reactions as gold fell slightly, US 10-year yields rose, and WTI crude dipped. The S&P 500 saw a small decrease with the AUD leading and the JPY lagging. Despite Joe Biden's poor debate performance causing political uncertainty, the focus was on economic data such as the PCE report showing modest cooling with wage pressure. The market moved minimally until later sharp declines in inflation readings. Bonds saw a significant sell-off possibly due to quarter-end flows and speculation of a Republican victory leading to larger deficits. In Japan, the yen weakened further despite personnel changes, with USD/JPY rising likely due to US yields and French political tension. As the weekend approached, anticipation grew for more market fluctuations and interesting developments in politics.