Jerome Powell

South Korea and Japan shared "serious concerns" on the recent weakness of their currencies against the dollar and agreed to take "appropriate actions" to counter extreme volatility, the finance ministry in Seoul said Wednesday.

Gold hit another fresh record high yesterday as investors grow confident that the Federal Reserve will cut interest rates this year, even after data showed a slight uptick in a key inflation report.

The precious metal has enjoyed healthy buying interest this year as the U.S. central bank hints at an easing of credit conditions.

The price of gold has shattered through a historic barrier, reaching an unprecedented level of $2,200 per troy ounce, following confirmation by the Federal Reserve of three anticipated interest rate reductions this year.

Gold hit a fresh record yesterday on growing optimism the Federal Reserve will cut interest rates in the new year, with traders shrugging off boss Jerome Powell's attempts to temper expectations.

Traders in markets are looking ahead to the Federal Reserve's summer conference for signs of whether the U.S. central bank thinks inflation is under control or more interest rate hikes are needed to cool inflation.

Fed officials have used the Jackson Hole, Wyoming, conference in previous years to indicate changes in policy direction.

The U.S. Federal Reserve raised its benchmark lending rate on July 26 to the highest level since 2001 to tackle above-target inflation, and signaled it could hike again later this year amid improving economic prospects.

The U.S. Federal Reserve is widely expected to pause its campaign of interest rate increases on June 14 to give policymakers more time to assess the economic impact of existing hikes and recent banking stresses.

The Federal Reserve will make only modest progress in its fight against inflation for the rest of this year, even while keeping its benchmark interest rate at a 16-year high, a group of business economists predict in a survey released Monday.

Uncertainty continues to pummel the banking industry, despite assurances from financial regulators and bankers such as Jamie Dimon this week that the worst of the recent crisis is over and the health of the banking system remains strong.

Bank shares have sold off on Wall Street this week following the government seizure and subsequent sale of First Republic Bank to JPMorgan.

The Federal Reserve extended its year-long fight against high inflation on March 22 by raising its key interest rate by a quarter-point despite concerns that higher borrowing rates could worsen the turmoil that has gripped the banking system.