The recent gains made by the dollar against other currencies due to interest-rate expectations have taken a toll on producers of metals and other raw materials.
Jobless Claims Hit New Low
In an unexpected turn of events, new weekly jobless claims have dropped to their lowest level since February. This development has increased the likelihood of wage inflation and has raised expectations for yet another Federal Reserve rate increase.
Chairman Powell’s Push for Inflation
JJ Kinahan, the chief executive of IG North America and president of its brokerage tastytrade, emphasized Chairman Powell’s commitment to reaching a 2% inflation rate. Kinahan acknowledged that there may be differing opinions among market prognosticators, but applauded Powell’s consistency in his messaging.
WestRock Eyeing Merger with Smurfit Kappa Group
According to The Wall Street Journal, WestRock, a leading cardboard-box maker, is in advanced talks to merge with European rival Smurfit Kappa Group. This potential merger would result in the creation of a global paper and packaging powerhouse valued at approximately $20 billion.
Synthomer Faces Setbacks
British plastics manufacturer Synthomer has taken a hit after announcing a securities sale and reporting a loss for the first half of the year. The company attributed these challenges to customers stockpiling latex and other products.