(Reuters) - A winter storm brought snow, ice and freezing temperatures to a broad swath of the U.S. on Sunday, with some 60 million people across more than a dozen states from Kansas to New Jersey under winter weather warnings and advisories.

The storm was moving toward the mid-Atlantic, where Washington, D.C. was bracing for heavy snow and bitter cold on Monday, the same day the U.S. Congress is set to meet and formally certify Republican Donald Trump's election as president.

Republican House Speaker Mike Johnson told Fox News on Sunday the weather would not prevent lawmakers from carrying out their duties. But federal offices in the nation's capital will be closed, the Office of Personnel Management announced.

Kansas and parts of northwestern Missouri were enduring blizzard conditions, the National Weather Service said. Roadways were blanketed in snow and ice, and officials urged residents to avoid travel.

Much of the main artery in Kansas, Interstate 70, was closed throughout Sunday due to heavy snow and ice.

In Missouri, the state police were sweeping a shut-down stretch of more than 50 miles on Interstate 29, searching for stranded motorists. As of late Sunday afternoon, troopers had responded to nearly 600 stranded drivers and 285 crashes, the agency said on X.

Total (EPA:TTEF) snowfall of between six and 12 inches (15 to 30 cm) was expected from southern Ohio to Washington. Hundreds of schools announced in advance that they would not open on Monday due to the storm, including public schools in Indianapolis, Cincinnati, Washington and Philadelphia.

In northern Kentucky and southern West Virginia, freezing rain and sleet will produce "hazardous ice accumulations," the service said. The back end of the storm system, meanwhile, was producing severe thunderstorms capable of spinning off tornadoes in Arkansas, Louisiana, Mississippi and Alabama.

The storm forced the cancellation of hundreds of flights, including more than 275 in both Kansas City and St. Louis, according to the aviation tracking website FlightAware.

Governors in several states, including Kansas, Kentucky, Arkansas, West Virginia and Virginia, declared states of emergency.

The storm will move offshore on Monday night, but bone-chilling arctic air is set to move in behind it, with daytime temperatures on Monday and Tuesday predicted to be 10 to 20 degrees F below average from the Great Plains to the East Coast, according to the weather service.

Investing.com-- Gold prices fell slightly in Asian trade on Monday, coming under pressure from a stronger dollar as expectations of a slower pace of monetary easing kept traders largely biased towards the greenback. 

The yellow metal has been steadily losing ground since late-December, after the Federal Reserve warned that it will cut interest rates at a slower pace in 2025. The dollar’s recent rally was sparked largely by this notion.

Hawkish comments from some Fed officials over the weekend also pressured gold.

Spot gold fell 0.1% to $2,635.81 an ounce, while gold futures expiring in February fell 0.3% to $2,646.51 an ounce by 00:12 ET (05:12 GMT). 

Hawkish Fedspeak dents gold, boosts dollar

Losses in gold and strength in the dollar came after two Fed officials warned that the bank’s fight against inflation was not over, potentially heralding a more hawkish outlook for interest rates. 

The greenback steadied in Asian trade after racing to its strongest level since November 2022.

Governor Adriana Kugler and San Francisco Fed President Mary Daly both said that the central bank was still not declaring victory over inflation, and was closely watching the labor market for any signs of weakness.

Sticky inflation and a strong labor market give the Fed less impetus to cut interest rates. Focus this week is on upcoming nonfarm payrolls data for more cues on interest rates. 

Other precious metals also retreated on Monday. Platinum futures fell 0.4% to $942.0 an ounce, while silver futures fell slightly to $30.055 an ounce. 

Among industrial metals, March copper futures fell 0.3% to $4.0655 a pound. The red metal was pressured by uncertainty over more stimulus measures in China, with focus turning to upcoming inflation data this week for more cues on the world’s biggest copper importer. 

Goldman Sachs pushes forward $3,000 gold price forecast 

Goldman Sachs on Monday said it now expects gold prices to hit $3,000 an ounce by mid-2026, after the yellow metal did not hit the price target by end-2024. 

The investment bank expects gold to end 2025 at around $2,900 an ounce, and expects $3,000 to come later amid slower interest rate cuts by the Fed.

Gold prices gained about 27% in 2024, as they benefited from the Fed cutting interest rates by 1% in the second half of the year. 

The yellow metal also saw robust safe-haven demand amid heightened geopolitical tensions in the Middle East and Russia. 

But gold lost ground towards the end of the year, pressured by a more hawkish Fed outlook for 2025. 

Investing.com-- China’s services sector expanded in December at the fastest pace in seven months supported by higher domestic demand, although export businesses declined, private purchasing managers index data showed on Wednesday.

The Caixin services PMI came in at 52.2 in December, compared to expectations for a print of 51.4. The reading was higher than the 51.5 seen in November.

A reading above 50 indicates expansion, with services activity now expanding at its fastest pace since May 2024.

"According to service providers, promotional efforts and better underlying demand supported the latest increase in new sales. Sales growth was notably supported by higher domestic demand as new export business declined for the first time since August 2023 amid softening foreign interest," the Caixin report stated.

Recent PMI data showed the manufacturing sector expanded at a slower than expected pace in December, implying the effect of stimulus measures was waning. 

China has committed to implementing more proactive fiscal stimulus measures and adopting moderately looser monetary policies in 2025.

U.S. President-elect Donald Trump has threatened to impose steep import tariffs against the country when he takes office on January 20- a scenario that could herald more economic pressure. 

Beijing is expected to roll out more targeted, fiscal stimulus in response to Trump’s tariffs this year. Recent reports suggested that the country will lower interest rates to ramp up fiscal spending, in order to support economic growth.

"Sentiment in the Chinese service sector remained positive at the end of 2024 as firms were generally hopeful that business development efforts and supportive government policies can support sales growth in 2025," the report said.

By David Milliken

LONDON (Reuters) - British companies are the gloomiest since former Prime Minister Liz Truss' September 2022 "mini-budget", following unexpectedly large tax increases in the new Labour government's Oct. 30 budget, a business survey showed.

The British Chambers of Commerce, who conduct the largest private-sector survey of British firms, said businesses were the least happy about taxation since they started asking about this in 2017, while confidence about sales over the next 12 months was the lowest since late 2022.

"The worrying reverberations of the Budget are clear to see in our survey data. Businesses confidence has slumped in a pressure cooker of rising costs and taxes," BCC Director General Shevaun Haviland said.

Finance minister Rachel Reeves announced 40 billion pounds ($50 billion) of tax rises on Oct. 30, the most of any budget since 1993. The bulk of this will come through higher social security charges paid by employers.

While the Bank of England estimates that higher public spending will temporarily boost growth next year, a big question for policymakers is whether the tax rises lead mostly to lower employment, higher prices or reduced profits or investment.

The BCC said 55% of firms planned to raise prices, up from 39% the quarter before, while 24% intended to cut investment, up from 18% previously. It plans to release survey data on recruitment intentions on Jan. 14.

The downbeat mood echoes that in other surveys of businesses from S&P Global, the Institute of Directors and the Confederation of British Industry.

Britain's economy grew solidly in the first half of 2024 as it recovered from a shallow recession in late 2023, before stagnating in the third quarter of last year.

The Bank of England has forecast zero growth for the fourth quarter of 2024 and an expansion of 1.5% in 2025.

The BCC survey of 4,800 businesses, mostly with fewer than 250 staff, took place from Nov. 11 to Dec. 9.

($1 = 0.8057 pounds)

Investing.com -- It’s set to be a busy week with U.S. jobs data, Federal Reserve meeting minutes and several Fed speakers along with inflation data out of the Eurozone and China. Meanwhile U.S. markets are due to remain closed on Thursday in honor of former President Jimmy Carter. Here's your look at what's happening in markets for the week ahead.

1. Jobs report

Friday’s employment report is expected to show that the U.S. economy added 154,000 jobs in December, while the unemployment rate is expected to hold steady at 4.2%.

Labor market data has been volatile in recent months amid disruptions from strikes and hurricanes. November data showed growth of 227,000 jobs, rebounding from a tepid rise in October.

With investors barely pricing in two rate cuts from the Federal Reserve this year the data is likely to remain consistent with a gradually slowing, but still solid labor market.

Ahead of Friday’s report, investors will get other updates on the strength of the labor market. The U.S. is to release monthly data on JOLTS job openings on Tuesday, followed by a data on private sector hiring and the weekly report on initial jobless claims on Wednesday, which is being released a day early ahead of Thursday’s National Day of Mourning.

2, Fed minutes, speakers

On Wednesday the Fed is to release the minutes of its December meeting where it delivered its third straight 25-basis point rate cut in what Chair Powell described as a "closer call".

“Given Powell’s description of the meeting and the dissent from Cleveland’s Hammack, we suspect that the minutes will detail a divergence in views on the appropriate action at the meeting,” analysts at Deutsche Bank said in a note. “We will also look for clues about how officials reflected upcoming changes to fiscal, trade and immigration policies in their forecasts.”

Investors will also get a chance to hear from several Fed officials during the week with speeches from Governors Cook and Waller on Monday and Wednesday, respectively likely to be the highlights. Richmond Fed President Thomas Barkin and Philadelphia Fed President Patrick Harker are also due to deliver remarks.

3. Stock markets

Stocks faltered at the end of December and the start of January, after a strong year. The benchmark S&P 500 closed out 2024 with a 23% rise and posted its biggest two-year gain since 1997-1998.

Prospects for a third straight standout year hinge in part on the strength of the economy, with labor market data among the most important reads into the economy's health.

The data could also help clarify the outlook for interest rates after the Fed last month rattled markets by pivoting to a more cautious outlook for rate cuts as it lifted its forecast for expected inflation in 2025.

Investors are wary of the jobs report revealing an overly strong economy, with a revival of inflation under the incoming Trump administration seen as one of the key risks to markets early in the year.

4. Inflation data

Expectations for additional rate cuts from the European Central Bank will be tested by Tuesday's December flash Eurozone inflation data. German and French inflation numbers are due Monday.

Any signs that inflation is easing further would give the ECB scope to loosen policy and support a struggling economy.

Meanwhile, China is to release consumer and producer price inflation data on Thursday. The annual rate of inflation was almost flat in December while PPI was in contraction territory, indicating that government stimulus measures have still not succeeded in bolstering demand.

5. Oil prices

Oil prices ended last week higher as the demand outlook was boosted by cold weather in Europe and the U.S. along with additional economic stimulus flagged by China.

Brent posted a 3.3% weekly gain, while crude oil WTI futures posted a 5% increase.

Oil prices look likely to remain supported amid expected increased demand for heating oil after forecasts for colder weather in some regions.

Data last week showing a decline in U.S. crude inventories also underpinned prices.

But oil’s gains look likely to be held in check by the stronger dollar which has strengthened on expectations that the U.S. economy will continue to outperform its peers globally this year and that U.S. interest rates will stay relatively higher.

By Trixie Yap

SINGAPORE (Reuters) - Singapore's jet fuel imports probably hit multi-year highs in December, with India the top supplier as the arbitrage to Europe stayed shut, according to trade sources and shiptracking data.

Singapore's jet fuel imports are closely followed by markets as the city state is a major trading and storage hub for refined fuel in Asia.

The strong supply to Singapore and expectations of higher exports from China after its refiners received their first batch of the 2025 export quota last week, could weigh on Asia's spot jet fuel prices, said the sources, who all wished not to be identified.

Singapore's jet fuel imports rose to 2.55 million barrels in December, from around 2 million barrels the previous month, estimates from LSEG, Kpler and trade sources showed, with most of the supply coming from India and South Korea.

These volumes were the highest in almost five years, Kpler data showed.

India diverted its jet fuel and kerosene exports from Europe to the rest of Asia as the east-west arbitrage remained closed, FGE analyst Liu Xuanting said in a note.

The rise in supply has flipped the regrade to negative territory since mid-December, she added.

The regrade, a spread between prices of jet fuel and 10-ppm sulphur gasoil, averaged at discounts of 80 cents a barrel over the past two weeks versus November's average premium of 80 cents.

Indian refiners typically sell refined products via spot tenders to traders who either send these volumes to Asia or northwest Europe, depending on arbitrage opportunities.

India's exports to Asia hit multi-year highs in November as it did not export any to northwest Europe.

Its December exports to northwest Europe were at around 1 million barrels, little changed from October's two-year lows, LSEG and Kpler shiptracking data showed.

Some northeast Asia refiners also switched to selling jet fuel instead of diesel in the past two months, lured by better margins, one northeast Asia-based source said.

The East-West price spreads still indicate the East as a preferred destination for January-loading cargoes, two analysts said.

Some India-origin barrels will continue to arrive on Asian shores this month, as buying activity from northwest Europe will need some time to pick up and Asian prices have to weaken further for the arbitrage window to reopen, one of the Singapore-based trade sources said.

About 600,000 barrels of India's jet fuel will be heading to southeast Asia and Australia in January, one shipbroking source said.

However, some traders expect jet fuel flows from the Middle East and India to northwest Europe to emerge soon, as inventories at the Amsterdam-Rotterdam-Antwerp (ARA) refining and storage hub have dropped near eight-month lows. [ARA/]

China-origin barrels will keep Asian markets fully supplied in these two months and swing suppliers may end up finding demand outlets west again, a third trade source said.

BEIJING (Reuters) -U.S. electric vehicle maker Tesla (NASDAQ:TSLA) said on Friday its China sales rose 8.8% to a record high of more than 657,000 cars in 2024, a strong performance in a competitive market in a year when its annual global deliveries fell for the first time.

Tesla's sales in the world's largest auto market also increased 12.8% in December from a month earlier to a record high of 83,000 units, according to Tesla China.

In 2024, Tesla delivered 36.7% of its cars to customers in China, its second-largest market, based on the sales figures.

But global deliveries nonetheless slid 1.1%, missing CEO Elon Musk's earlier prediction of slight growth. Reduced European subsidies, a U.S. shift toward lower-priced hybrid vehicles and tougher global competition, especially from China's BYD (SZ:002594), were a drag on sales.

With full-year global sales of 1.79 million cars, Tesla was still narrowly ahead of BYD, whose EV sales grew 12.1% to 1.76 million globally.

The U.S. EV giant downsized its global workforce last year in the face of tepid demand and stiffer competition from Chinese EV makers, and cut the size of its China sales team.

As an EV price war in China enters a third year, Tesla has extended a 10,000 yuan ($1,369.99) discount on outstanding loans for its best-selling Model Y as well as zero-interest financing of up to five years for some Model 3 and Model Y cars until the end of this month.

BYD, which has led a cost-cutting competition with its Dynasty and Ocean series of EVs and plug-in hybrids, overshot its sales target, with passenger vehicle sales up 41% to over 4.25 million units last year.

The Chinese EV champion's overseas shipments rose 71.9% to 417,204 units, or 9.8% of its global sales, missing its export target of 450,000 for 2024, as it faces a 17% additional tariff, the lowest the EU has assigned Chinese EVs from China.

Nearly one out of five BYD cars sold out of China was in Brazil, where BYD and its contractor Jinjiang Group are facing investigations by Brazilian authorities into the conditions of the Chinese workers at the construction site of a local BYD factory.

WASHINGTON (Reuters) - U.S. mortgage rates jumped to a six-month high this week, suggesting that a recent improvement in home sales could be temporary.

The average rate on the popular 30-year fixed-rate mortgage increased to 6.91%, the highest level since early July, from 6.85% last week, mortgage finance agency Freddie Mac (OTC:FMCC) said on Thursday. It averaged 6.62% during the same period a year ago.

"Compared to this time last year, rates are elevated and the market's affordability headwinds persist," said Sam Khater, Freddie Mac’s Chief Economist.

Mortgage rates have trended higher despite the Federal Reserve cutting interest rates three times since starting its monetary policy easing cycle in September.

They have risen in tandem with U.S. Treasury yields amid a resilient economy and investor fears that President-elect Donald Trump's proposed policies, including tax cuts, higher tariffs on imported goods and mass deportations, could reignite inflation.

Mortgage rates track the 10-year Treasury note. Sales of previously owned homes surged to an eight-month high in November, mostly reflecting contracts signed in October and possibly September when mortgage rates were mostly lower.

Sales could still rise in December after contracts increased to a 21-month high in November. Increased supply is pulling more buyers into the market, but rising mortgage rates could discourage some homeowners from putting their houses on the market, especially if they would need to buy another home.

Many homeowners have mortgages below 5%. The so-called rate-lock effect could mean fewer homes being listed, reducing inventory and pushing up prices.

This would combine with rising mortgage rates to reduce affordability for many prospective buyers.

By Lucia Mutikani

WASHINGTON (Reuters) -The number of Americans filing new applications for unemployment benefits dropped to an eight-month low last week, pointing to low layoffs at the end of 2024 and consistent with a healthy labor market.

The report from the Labor Department on Thursday added to a recent raft of upbeat economic data, including consumer spending, in reinforcing the Federal Reserve's projections for fewer interest rate cuts this year. Labor market resilience is keeping the economic expansion on track.

"A stable job market will squelch the Fed's appetite for cutting rates aggressively amid nagging services inflation," said Jeffrey Roach, chief economist at LPL Financial (NASDAQ:LPLA).

Initial claims for state unemployment benefits dropped 9,000 to a seasonally adjusted 211,000 for the week ended Dec. 28, the lowest level since April. Economists polled by Reuters had forecast 222,000 claims for the latest week. 

There were sharp declines in unadjusted claims in California and Texas. Large increases in filings were recorded in Michigan, New Jersey, Pennsylvania, Ohio, Massachusetts and Connecticut.

Claims tend to be volatile around the end of the year. Through the volatility, however, they have remained compatible with a labor market that is steadily slowing at a pace that does not signal a deterioration in economic conditions.

The four-week moving average of claims, which strips out seasonal fluctuations from the data, fell 3,500 to 223,250. 

The dollar rose to a two-year high against a basket of currencies, while stocks on Wall Street were slightly stronger. Yields on longer-dated U.S. Treasuries edged higher.

CONSTRUCTION SPENDING UNCHANGED     

The U.S. central bank last month delivered a third consecutive interest rate cut, lowering its benchmark overnight interest rate by 25 basis points to the 4.25%-4.50% range. 

It, however, projected only two reductions in borrowing costs this year compared to the four it had forecast in September, acknowledging the resilience of the jobs market and economy. The Fed's policy rate was hiked by 5.25 percentage points in 2022 and 2023 to quell inflation.

The labor market is being underpinned by very low levels of layoffs, but employers are hesitant to add more workers after a hiring spree during the recovery from the COVID-19 pandemic. 

As a result, some workers who have lost their jobs are experiencing long bouts of joblessness, with the median duration of unemployment approaching a three-year high in November. 

The number of people receiving benefits after an initial week of aid, a proxy for hiring, decreased 52,000 to a seasonally adjusted 1.844 million during the week ending Dec. 21, the claims report showed. 

The so-called continuing claims continued to rise in Washington state, long after a strike by factory workers at Boeing (NYSE:BA) ended. They remained elevated in North Carolina in the aftermath of the devastation caused by Hurricane Helene, and in Michigan and Ohio, which have suffered job losses in manufacturing.

Economists have also attributed some of the continued elevation in the so-called continuing claims to difficulties stripping out seasonal fluctuations from the data. They expect the unemployment rate to have held steady at 4.2% in December.

The government is scheduled to publish its closely watched employment report for December next Friday.

"Businesses hired fewer employees in 2024 than they did in 2023 and 2022, leading to the persistent increase in continuing claims in 2024," said Stuart Hoffman, senior economic advisor at PNC Financial (NYSE:PNC). "But the economy is still creating roughly enough jobs to keep up with labor force growth."

A separate report from the Commerce Department's Census Bureau showed construction spending was unchanged in November as a moderate rise in single-family homebuilding was offset by a sharp decline in outlays on multi-family housing projects. That followed an upwardly revised 0.5% rise in October.

Economists had forecast construction spending would gain 0.3% in November after a previously reported 0.4% rise in October. It increased 3.0% on a year-on-year basis in November.

Spending on private construction projects edged up 0.1% after increasing 0.6% in October. Investment in residential construction nudged up 0.1%, with outlays on new single-family projects rising 0.3%.

  New construction could be hampered by higher mortgage rates, President-elect Donald Trump's threat to impose tariffs on imports, and the labor shortages that could result from his incoming administration's broad promise to deport immigrants.

Trump's policy pledges, including tax cuts, have contributed to the elevation in mortgage rates even as the Fed has been lowering borrowing costs. 

Outlays on multi-family housing units fell 1.3% in November. Spending on home renovations continued to increase.

Investment in private non-residential structures like offices and factories was unchanged in November. 

Spending on public construction projects dipped 0.1% in November after easing by the same margin in October. State and local government spending slipped 0.1%, while outlays on federal government projects dropped 0.5%.

By Karen Brettell

NEW YORK (Reuters) -The U.S. dollar jumped to a two-year high on Thursday in the first day of 2025 trading, building on last year's strong gains on expectations U.S. growth will beat peers and keep U.S. interest rates relatively elevated.

The Federal Reserve has indicated that it will be more cautious in cutting interest rates as inflation remains stubbornly above its 2% annual target and the economy remains strong.

Policies by U.S. President-elect Donald Trump are also expected to boost growth and potentially add to upward price pressures.

"In terms of 2025 economic growth, there's no rival to the dollar," said Adam Button, chief currency analyst at ForexLive in Toronto.

"Capital flows dominate the turn of the year and the U.S. stock market has really put to shame every other global market," Button added. "The dollar is the only game in town until there is a genuine stumble in the U.S. economy."

Data on Thursday confirmed a still solid jobs market. The number of Americans filing new applications for unemployment benefits dropped to an eight-month low last week, pointing to low layoffs at the end of 2024.

The dollar index was last up 0.77% on the day at 109.38.

The euro dropped 1.01% to $1.025, its lowest since November 2022.

The single currency accelerated losses after it broke below the $1.03 level, indicating that technical factors were deepening the sell-off.

Traders anticipate deep interest rate cuts from the European Central Bank in 2025, with markets pricing in at least four 25-basis-point cuts, while not being certain of even two such moves from the Fed.

By Karen Brettell

NEW YORK (Reuters) -The U.S. dollar jumped to a two-year high on Thursday in the first day of 2025 trading, building on last year's strong gains on expectations U.S. growth will beat peers and keep U.S. interest rates relatively elevated.

The Federal Reserve has indicated that it will be more cautious in cutting interest rates as inflation remains stubbornly above its 2% annual target and the economy remains strong.

Policies by U.S. President-elect Donald Trump are also expected to boost growth and potentially add to upward price pressures.

"In terms of 2025 economic growth, there's no rival to the dollar," said Adam Button, chief currency analyst at ForexLive in Toronto.

"Capital flows dominate the turn of the year and the U.S. stock market has really put to shame every other global market," Button added. "The dollar is the only game in town until there is a genuine stumble in the U.S. economy."

Data on Thursday confirmed a still solid jobs market. The number of Americans filing new applications for unemployment benefits dropped to an eight-month low last week, pointing to low layoffs at the end of 2024.

The dollar index was last up 0.77% on the day at 109.38.

The euro dropped 1.01% to $1.025, its lowest since November 2022.

The single currency accelerated losses after it broke below the $1.03 level, indicating that technical factors were deepening the sell-off.

Traders anticipate deep interest rate cuts from the European Central Bank in 2025, with markets pricing in at least four 25-basis-point cuts, while not being certain of even two such moves from the Fed.