Fed Chief Powell hints at rate cut in congressional testimony In prepared testimony to the House Financial Services Committee, Fed Chief Jerome Powell stated that despite the positive US job report in June, “Manufacturing, trade and investment are weak all around the world.” He also pointed out wages weren’t rising fast enough and there was the risk of persistently weak inflation. He reiterated that the Fed would “act as appropriate”. After his statement, stocks rallied with Gold and USD fell as markets interpreted his testimony as significantly increasing the odds of a rate cut in July.
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US to allow licensed sales to Huawei in relaxation of ban The US Department of Commerce announced that US companies would be allowed to trade with Huawei after they get licenses to do so. Licenses would only be issued if there was no threat to national security. This is in line with the promise made by President Trump at the G20 summit. The department also clarified that Huawei would not be removed from the Entity List, which is a blacklist for entities thought to pose a significant threat to US national security or foreign policy interests. The relaxation of the ban is a lifeline for Huawei, which requires high tech components from US companies for its products.
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Go-Jek secures funding from Thailandâ€™s biggest bank Indonesiaâ€™s ride-hailing unicorn Go-Jek has secured funding from Siam Commercial Bank. Siam Commercial Bank is the largest bank in Thailand and King Maha Vajiralongkorn is its biggest shareholder. It is unclear how much the bank has invested; Go-Jek has already raised more than US$1 billion in its latest series F funding round. Investors include Google, Tencent, JD.com, Mitsubishi Corp and others. Go-Jek will use the funds in its expansion plans across SE Asia and the latest funding round values the company at more than US$10 billion.
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