March 24, 2025 – Boyko Wealth

Boyko Research

BoykoWealth.com — Automated Daily Report on World Macroeconomic News for March 24, 2025

A comprehensive summary of the news, covering GDP, inflation, unemployment, consumer confidence, equity markets, fixed income and interest rates, commodities, currencies, economic indicators, geopolitical developments, and new technology news.

GDP: The U.S. economy expanded at a healthy 2.3% quarter-over-quarter annualized rate during the fourth quarter of 2024, bringing real economic growth to 2.8% for the year[1]. Consumer spending continued to power the economy forward, growing at an exceptional 4.2%, while government spending moderated. Business fixed investment turned negative due to declines in equipment and structures spending, while residential investment rose after lagging for two quarters[1].

Inflation: The February Consumer Price Index (CPI) report showed the headline figure increasing by 0.2% month-over-month (2.8% year-over-year), below consensus, while core CPI rose 0.2% (3.1%), which was the slowest annual rise since 2021[1]. This report helped to reduce fears of persistent inflation, but more price increases could be on the way as tariff impacts begin to flow through the data[1].

Unemployment: The February Jobs report showed a labor market that still looks relatively healthy, although some of the details were soft. Nonfarm payrolls rose by 151,000, below consensus expectations[1]. Revisions removed just 2,000 jobs from the prior two months, bringing the three-month moving average of payroll gains down to a still strong 200,000[1]. The unemployment rate ticked up to 4.1%, while wage growth eased to 0.3% month-over-month and 4% year-over-year[1].

Consumer Confidence: Consumer confidence has shown signs of weakening, with recent surveys indicating a decline in sentiment due to rising inflation and economic uncertainty[1]. This trend is expected to continue as consumers grapple with higher prices and potential job market fluctuations[1].

Equity Markets: U.S. stocks ended slightly higher on Friday, with the S&P 500 snapping four consecutive weeks of losses[2]. The Dow Jones Industrial Average (DJI) advanced 0.1% to end at 41,985.35 points, while the S&P 500 added 0.1% to close at 5,667.56 points[2]. The tech-heavy Nasdaq climbed 0.5% to finish at 17,784.05 points[2]. Communication services and consumer discretionary stocks were the biggest gainers[2].

Corporate Actions and Earnings: Shares of industry bellwether FedEx Corporation plunged 11.9% on Friday after the company reported third-quarter fiscal 2025 earnings of $4.51 per share, missing the Zacks Consensus Estimate of $4.65 per share[3]. The company also cut its earnings outlook[3].

Trending Industry Update: The technology sector saw notable gains, with the Technology Select Sector SPDR (XLK) adding 0.4%[2]. This was driven by strong performance in communication services and consumer discretionary stocks[2].

United States: The Federal Reserve (Fed) kept interest rates steady at 4.5% for a second straight meeting[4]. The Fed’s latest economic projections reveal expectations of slower growth and higher core inflation by year-end[4]. The Fed announced that it will further slow the pace of quantitative tightening in April, by reducing the monthly cap on U.S. Treasuries redemption to $5 billion from $25 billion[4].

Europe: Flash PMI readings from France and Germany indicated a mixed outlook for the manufacturing and services sectors[5]. France’s manufacturing sector remained in contraction, but the pace of decline eased, with the PMI rising to 45.8[5]. Germany’s Manufacturing PMI rose to a 25-month high of 46.5, signaling a slower pace of contraction[5].

Asia: Japan’s BoJ monetary policy meeting minutes indicated a cautious approach to economic policy, with a focus on maintaining stability amid global uncertainties[6]. Australia’s CPI indicator for February is projected at 2.6%, up from the previous 2.5%[6].

Fixed Income and Interest Rates: The Fed’s decision to keep interest rates steady at 4.5% reflects a cautious approach to managing economic growth and inflation[4]. The yield on the 10-year U.S. Treasury note remained stable, reflecting investor confidence in the Fed’s policy stance[4].

Commodities: Brent crude oil prices experienced a modest increase, with the price rising approximately 2%, marking the largest weekly gain since early 2025[7]. This uptick was primarily driven by the United States imposing new sanctions on Iran and OPEC+ announcing plans to cut output[7].

Energy: The energy sector saw gains as oil prices rose due to geopolitical tensions and supply constraints[7]. Natural gas prices also saw a slight increase, driven by higher demand and supply disruptions[7].

Metals: Gold prices remained stable, reflecting investor caution amid economic uncertainties[7]. Silver and copper prices saw slight increases, driven by industrial demand and supply constraints[7].

Currencies: The U.S. dollar remained stable against major currencies, with the EUR/USD trading at 1.0813 and the USD/JPY at 149.36[8]. The GBP/USD traded at 1.2893, reflecting a touch of weakness[8].

Economic Indicators: Key economic indicators for the week include U.S. GDP, jobless claims, and Core PCE readings[5]. These data points will provide insights into the health of the U.S. economy and the Federal Reserve’s policy path[5].

Geopolitical Developments: The United States imposed new sanctions on Iran, contributing to rising oil prices[7]. Additionally, ongoing trade tensions and policy uncertainty continue to impact global economic growth[9].

New Technology News: The technology sector continues to see innovation and growth, with new advancements in artificial intelligence and renewable energy technologies[2]. Companies are investing heavily in research and development to stay competitive in the rapidly evolving tech landscape[2].

This comprehensive summary provides an overview of the latest macroeconomic news and market developments, offering valuable insights for investors and analysts alike.

References

[1] Economic Update: March 24, 2025 | Traders’ Insight – Interactive Brokers

[2] Stock Market News For Mar 24, 2025 – Yahoo Finance

[3] Stock Market News For Mar 24, 2025 – March 24, 2025 – Zacks.com

[4] March 2025 Fed meeting: Interest rates kept steady, slower economic …

[5] The Week Ahead: Key Economic Events to Watch for March 24 – 28, 2025

[6] Market navigator: week of 24 March 2025

[7] 24 March 2025 – FTMO

[8] indicative forex prices – 24 March 2025 – TradingView

[9] OECD Economic Outlook, Interim Report March 2025

[10] Stock Market News For Mar 24, 2025 – TradingView

[11] Weekly Economic Update: March 24, 2025