US Federal Reserve Chairman Jerome Powell is in no hurry to ease the hawkish monetary policy stance, US labour market shows signs of tightening, Spotify's dance to raising subscription charges, and more on the April 4 edition of World Street.
Distant dream
Federal Reserve chair Jerome Powell remarked that policymakers will need time to assess the inflation situation, leaving the timing of possible interest rate reductions uncertain. Powell emphasised that despite the higher-than-anticipated price pressure at the beginning of the year, he and other officials are not in a hurry to implement monetary policy easing.
Tight labour market
In March, private sector job expansion surged at its quickest rate since July 2023, suggesting ongoing strength in the US labour market, according to ADP, a payroll processing firm. Employers hired 184,000 workers during the month, up from the upwardly revised February figure of 155,000, which also matched the Dow Jones estimate for March.
Sweet music
On April 3, Spotify's stocks surged 6 percent after a Bloomberg article stated that the company plans to raise prices for its premium subscription service in various markets, including the US, marking the second increase within a year. According to sources familiar with the matter, the Swedish music-streaming giant will implement the price hike in the US later this year.
Turkish macros
According to the report released by the Turkish Statistical Institute on Wednesday, Turkey's yearly inflation climbed to 68.5 percent in March, up from February's 67.1 percent. The monthly increase in consumer prices reached 3.16 percent, driven by significant rises in education, communication, and hospitality sectors, with month-on-month increases of 13 percent, 5.6 percent, and 3.9 percent, respectively.
Vaccine trouble
On April 3, Moderna saw a 4 percent decline in its stock value following a ruling by a US judge that bolstered Arbutus' claims in a patent infringement case concerning Moderna's highly successful COVID-19 vaccines. The ruling holds significance in assessing whether Moderna's vaccines incorporate Arbutus' patented technology.
Layoff circle
On April 3, Amazon Web Services announced the elimination of several hundred positions in sales, marketing, and technical roles, marking the latest round of job cuts within its parent company, Amazon.com. The affected employees include several hundred individuals from AWS' sales, marketing, and global services divisions, as well as from the physical stores technology team, the cloud computing segment of Amazon stated.
Taiwan tremors
Taiwan Semiconductor Manufacturing Co, the largest contract chipmaker globally, announced the suspension of construction activities at its Taiwan sites in the aftermath of a 7.2-magnitude earthquake that hit the island on April 3. The company stated that it is assessing the quake's effects and will recommence operations following thorough inspections.
Advertising spending
JPMorgan Chase introduced a fresh digital media venture enabling advertisers to tailor their campaigns to the spending habits of the bank's 80 million customers. The platform, known as Chase Media Solutions, merges the reach of a retail media network with transaction data owned by Chase, providing brands with the ability to target customers with precision, according to the company's announcement.
(With inputs from Reuters and other agencies)
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