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Photo illustrating the US government shutdown's impact on federal data and markets, featuring the Capitol with shutdown barriers and financial charts showing dollar decline and Bitcoin rise.

US government shutdown impacts federal data and markets

02. lokakuuta 2025 AI:n luoma kuva

A US government shutdown began on October 1, 2025, hindering the Federal Reserve's access to key economic data amid considerations for interest rate cuts. The event has led to a decline in the dollar, positioning it for its worst annual drop in 22 years, while prediction markets forecast the shutdown lasting nearly two weeks. Investors have turned to bitcoin as a safe haven, driving its price higher.

Divided Congress threatens Fed independence more than Trump

An analysis argues that political gridlock in Congress presents a larger risk to the Federal Reserve's independence than actions by President Donald Trump. While Trump has voiced criticisms of Fed Chair Jerome Powell, he has not attempted to remove him or directly interfere with monetary policy. The real danger lies in congressional battles over fiscal policy that could pressure the central bank.

US August Jobs Report Shows Slowdown

12. syyskuuta 2025 Raportoinut AI

The US Bureau of Labor Statistics released the August 2025 jobs report on September 5, revealing that employers added only 22,000 jobs, below expectations, while the unemployment rate rose to 4.3%. This data signaled a stalling labor market, boosting expectations for Federal Reserve interest rate cuts. Markets reacted with stocks slipping after initial highs and Treasury yields hitting five-month lows.

Weak US Jobs Data Boosts Rate-Cut Hopes

Weak U.S. jobs data has increased expectations for Federal Reserve rate cuts, lifting stock markets. Treasury yields fell to five-month lows, and gold prices neared records.

US August CPI Rises 2.9 Percent

12. syyskuuta 2025 Raportoinut AI

The US Consumer Price Index for August 2025 increased by 2.9% year-over-year, as reported on September 11, exceeding forecasts of 2.7% and indicating persistent inflation. This data bolstered expectations for Federal Reserve rate adjustments while easing some economic concerns.