Iran war disrupts outlook, Federal Reserve faces dual pressures, hawks and doves set for imminent showdown
Odaily reported that Federal Reserve officials will hold a meeting this week, and their policy outlook has already been disrupted against the backdrop of the Iran war causing a halt in one-fifth of the global oil supply. The officials will discuss whether this conflict is more likely to undermine economic growth, trigger more persistent inflation, or create a complex situation where economic slowdown and rising prices coexist.
Considering that supply shocks during the pandemic led the Federal Reserve to miss its 2% inflation target for five consecutive years, policymakers are more likely to take a cautious approach this week, and may even directly signal a hawkish stance. The current inflation rate is still about 1 percentage point higher than the target and is expected to rise further, especially as oil prices have surged nearly 50% in two weeks and remain at high levels. Officials must also weigh whether this emerging economic shock, which is expected not only to push up prices but also tighten financial conditions, depress asset prices, and increase uncertainty, will become the trigger that breaks economic resilience.
The market expects the Federal Reserve to keep interest rates unchanged at this week's policy meeting. Data since the last meeting shows that the basic outlook has hardly changed, and the Federal Reserve is in a leadership transition—Kevin Warsh, nominated by Trump, is expected to eventually be confirmed by the Senate and take over from current chairman Powell after mid-May. Nevertheless, Federal Reserve officials will still submit new economic forecasts, striving to determine whether the future situation requires maintaining tight monetary policy to firmly fight inflation, or cutting interest rates to offset the impact of economic slowdown. (Golden Ten Data)
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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BUZZ - Reports suggest Starbucks had discussed a deal, Chipotle shares rise
Latest Updates October 8 - Chipotle Mexican Grill shares (CMG.N) surged by as much as 8.55% to $33.40, while Starbucks (SBUX.O) shares once dropped 6.66% to $87.35. The Financial Times, citing insiders, reported that Starbucks (SBUX) had considered acquiring Chipotle (link). The coffee giant's stock has fallen to its lowest point since March. According to the report, the progress of the acquisition plan remains unclear; both Starbucks and Chipotle did not immediately respond to Reuters' requests for comment. If the deal goes through, CEO Brian Niccol would return to lead the Mexican grill chain he ran before joining the coffee giant two years ago. "For SBUX, we think investors would view this as a distraction for management's time and energy—after all, there is still much work to be done to revive the Starbucks brand, particularly concerning the fundamentals of same-store sales in North America, as the company gradually exhausts easily achievable growth points through 2027 and beyond," said RBC Capital Markets analyst Logan Reich. According to data from the London Stock Exchange Group (LSEG), CMG has a market capitalization of about $39 billions, while SBUX is valued at $107 billions. As of the close of the last trading day, SBUX has risen about 11% year-to-date, while CMG has fallen by 17%. (For the convenience of non-English speakers, Reuters has automated the translation of its reports into several other languages. As automated translations may be inaccurate or lack contextual nuances, Reuters does not guarantee the accuracy of translated texts, which are provided solely for reader convenience. Reuters accepts no liability for any loss or damage arising from the use of automated translations.)
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Market Chatter: Nvidia-Backed Firmus Grid Seen Delaying IPO
02:12 PM EDT, 10/08/2026 (MT Newswires) -- Nvidia-backed (NVDA) Firmus Grid is poised to delay its initial public offering amid slack investor demand, Bloomberg News reported Thursday, citing people familiar with the matter. The Australian data center company had been looking to raise as much as $5.5 billion including an overallotment option, indicating a $30.4 billion valuation, and may consider a private funding round instead, the report said. Firmus didn't immediately reply to a request for comment from MT Newswires. (Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.) Price: 230.30, Change: -7.17, Percent Change: -3.02
Correction-BUZZ-Starbucks stock price drops; reports say the company is considering acquiring Chipotle Mexican Grill
Correction to point 4: The market capitalization should be approximately $39 billion for Chipotle, not Starbucks. On October 8 — Starbucks (SBUX.O) shares fell by as much as 6.66%, trading at $87.35. The Financial Times, citing people familiar with the matter, reported that the company had explored the possibility of acquiring Chipotle Mexican Grill (CMG.N) (link). The report stated that the progress of the potential acquisition remains unclear. Chipotle (CMG) has a market capitalization of about $39 billion. Chipotle (CMG) shares once surged by as much as 8.55% to $33.40. Chipotle did not immediately respond to a Reuters request for comment. As of the previous trading day's close, SBUX shares were up about 10% year-to-date, while CMG shares had fallen by 12% over the same period. (For the convenience of non-English speakers, Reuters automatically translates its reports into several other languages. Since automated translations may contain errors or lack necessary context, Reuters does not guarantee the accuracy of automated translation texts and provides them solely for the convenience of readers. Reuters accepts no liability for any damage or losses resulting from the use of the automated translation function.)
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