The Federal Reserve is likely to both express a hawkish stance and release dovish signals tonight

JPMorgan has raised the target price of Chevron (CVX.US) from $222 to $241.

The Prime Minister of Malaysia stated that the central bank will provide an additional 5 billion ringgit in financing to small and medium-sized enterprises affected by the Middle East conflict.

⑴ Italy's 10-year government bond yield fell below 4.55%, retreating from a three-year high as falling oil prices eased the bond sell-off triggered by concerns surrounding Europe's fiscal outlook. ⑵ US President Trump stated that the United States will not attack Iran before next month's midterm elections, easing market concerns about further disruptions to energy supplies. ⑶ Italy's risk premium narrowed, with the yield spread over safe-haven German government bonds dropping to 107 basis points from 130 basis points last Friday. ⑷ The market has also reduced bets on European Central Bank rate hikes, now expecting the policy rate to be 3.2% by the end of 2027. ⑸ However, yields remain near multi-year highs, and Italy's debt-to-GDP ratio of 138.6% is expected to exceed that of Greece this year, making it the most indebted country in the Eurozone. ⑹ The European Commission's fiscal chief urged budget restraint, rejecting calls from Italy and Greece for greater budgetary flexibility. ⑺ Meanwhile, the Italian government is in talks with banks and energy groups about possible contributions as it prepares to submit the 2027 budget next week.

Spot gold has just surpassed the $4,200.00/ounce mark, now trading at $4,200.18/ounce, up 1.61% for the day. The main COMEX gold futures contract is currently quoted at $4,224.80/ounce, up 1.63% for the day.