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US long-term bond yields rise to highest level in six months

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US long-term bond yields rise to highest level in six months

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US long-term bond yields climbed higher again on Thursday, a day after Federal Reserve officials said they expected to cut interest rates much more slowly next year than previously anticipated.

The yield on the benchmark 10-year Treasury, which moves inversely to its price, rose as much as 0.09 percentage points to 4.59 per cent, its highest level in more than six months, after jumping on Wednesday.

The dollar gained a further 0.3 per cent against a basket of peers on Thursday, after soaring to the highest level since November 2022 in the previous session.

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The Fed on Wednesday reduced interest rates by a quarter-point but unsettled investors after officials raised their 2025 inflation forecasts and cut back their projections for further rate cuts. It was the central bank’s final meeting before Donald Trump takes office next month.

Concerns about inflation stalling above 2 per cent contributed to Fed officials forecasting just half a percentage point worth of cuts in 2025, down from a full percentage point in their previous projections in September.

“I think the market had anticipated that the Fed would cut rates, but would also continue to give itself optionality for additional cuts for next year,” said Akshay Singal, global head of short-term interest rate trading at Citigroup.

Instead the US central bank had significantly shifted and had given itself more of an option “to keep rates on hold for a period of time” to absorb any impact from looser fiscal policy, he added, predicting the hawkish rhetoric would continue to boost the dollar.

Investors now see a roughly 85 per cent chance that the Fed either refrains from a rate reduction, or cuts rates once or twice next year, according to CME Group data based on federal funds futures.

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The S&P 500 was 0.4 per cent higher in afternoon trading on Wall Street, well below earlier levels that had pushed it up more than 1 per cent. The US’s main equities barometer slid nearly 3 per cent on Wednesday, in its biggest fall since August.

The tech-heavy Nasdaq Composite gained 0.3 per cent after dropping 3.6 per cent on Wednesday. Six of the Magnificent Seven tech behemoths — Apple, Microsoft, Alphabet, Amazon, Meta and Nvidia — advanced. However, Tesla, which has been boosted in part by co-founder Elon Musk’s warm relations with president-elect Trump, slipped 2 per cent after sinking 8 per cent in the previous session.

“We’ve been so focused on Trump [in recent weeks] but right now it seems to almost be back to a Jay Powell type stock market,” said Jeff Weniger, head of equity strategy at WisdomTree, referring to the chair of the Fed.

The Fed’s hawkish outlook ricocheted into markets in Europe and Asia on Thursday. Europe’s benchmark Stoxx 600 dropped 1.5 per cent and the UK’s FTSE 100 fell 1.1 per cent. Earlier, markets in India, Japan, South Korea and Hong Kong also closed in the red.

Emerging market stocks were also hit, with MSCI’s broad EM index sliding 1.2 per cent.

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Video: Nick Reiner Talked Openly About His Addiction Struggles

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Video: Nick Reiner Talked Openly About His Addiction Struggles

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Nick Reiner Talked Openly About His Addiction Struggles

Nick Reiner was arrested and booked on suspicion of murder after his mother and father, the movie director Rob Reiner, were found dead in their home. The younger Reiner had been open about his struggles with drug abuse and homelessness.

“I was scared to get in trouble…” “We’re talking with Nick Reiner and his father, Rob Reiner.” “I think I’m lucky in the sense that I have parents that care about me. And because of that, when I would go out and do, you know, things like drugs and stuff like that, I’d feel a tremendous amount of guilt because I’d think, oh, you know, they’re thinking about me right now. They want me to do good.” “How was it working with your son?” “Oh, good, good.” “Deep down, he trusted that we loved him and that we were there for him. And that put a little bit of a break on certain things. I mean, it’s a desire to survive.”

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Nick Reiner was arrested and booked on suspicion of murder after his mother and father, the movie director Rob Reiner, were found dead in their home. The younger Reiner had been open about his struggles with drug abuse and homelessness.

By Shawn Paik

December 16, 2025

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Peace plans ready to be presented to Russia in days, says Zelenskyy

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Peace plans ready to be presented to Russia in days, says Zelenskyy

Volodymyr Zelenskyy says proposals negotiated with US officials on a peace deal to end Russia’s war in Ukraine could be finalised within days, after which American envoys will present them to the Kremlin.

After two days of talks in Berlin, US officials said on Monday they had resolved “90%” of the problematic issues between Russia and Ukraine, but despite the positive spin it is not clear that an end to the war is any closer, particularly as the Russian side is absent from the current talks.

In the early hours of Tuesday morning the Ukrainian president said the US Congress was expected to vote on security guarantees and that he expected a finalised set of documents to be prepared “today or tomorrow”. After that, he said, the US would hold consultations with the Russians, followed by high-level meetings that could take place as soon as this weekend.

“We are counting on five documents. Some of them concern security guarantees: legally binding, that is, voted on and approved by the US Congress,” he said in comments to journalists via WhatsApp. He said the guarantees would “mirror article 5” of Nato.

On Monday, US officials declined to give specific details of what the security package was likely to include, and what would happen if Russia attempted to seize more land after a peace deal was reached. They did, however, confirm that the US did not plan to put boots on the ground in Ukraine.

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Leaders of the UK, France, Germany and eight other European countries said in a joint statement that troops from a “coalition of the willing” could “assist in the regeneration of Ukraine’s forces, in securing Ukraine’s skies, and in supporting safer seas, including through operating inside Ukraine”.

They stopped short, however, of suggesting these would be guarantees that would match Nato’s article 5, and in any case there is little sign that Russia is anywhere close to agreeing to the kind of package under discussion between Washington and Kyiv.

On Tuesday, the Kremlin said it had not seen the details of proposals on security guarantees. “We have seen newspaper reports so far, but we will not respond to them. We have not seen any texts yet,” its spokesperson, Dmitry Peskov, told reporters.

Peskov added that Moscow, which has in the past demanded Kyiv cede territories Russia claims as its own and ruled out the presence of any foreign troops in Ukraine, had not changed its stance on the conflict and the achievement of its military goals.

“Our position is well known. It is consistent, it is transparent and it is clear to the Americans. And, in general, it is clear to the Ukrainians as well,” Peskov said.

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Russia’s deputy foreign minister, Sergei Ryabkov, said Russia would not agree to troops from Nato countries operating in Ukraine “under any circumstances”. It was unclear whether that formulation also included troops drawn from Nato countries operating under a separate non-Nato command.

The German chancellor, Friedrich Merz, said on Monday that peace was closer than at any time since the beginning of Russia’s full-scale invasion. But privately, European officials say that at this stage the talks are more about keeping the Trump White House onboard with supporting Ukraine than about reaching a lasting deal between Moscow and Kyiv.

The main sticking point between the Ukrainian team and US negotiators remains the issue of land. Trump wants Ukraine to give up the parts of the Donbas region it still holds, while Ukraine wants to freeze the lines at the current point of contact. “We are discussing the territorial issue. You know it is one of the key issues. At this point, there is no consensus on it yet,” Zelenskyy said after the Berlin talks.

The US negotiation team, led by Steve Witkoff and Jared Kushner, has proposed a compromise solution whereby Ukraine would withdraw, but Russia would not advance and the demilitarised area would become “a free economic zone”. Russia has suggested that they could use police and national guard formations rather than the military, implying they would still expect to control the territory.

“I want to stress once again: a ‘free economic zone’ does not mean under the control of Russia. Neither de jure nor de facto will we recognise Donbas – its temporarily occupied part – as Russian. Absolutely,” said Zelenskyy.

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It is not clear how the two sides will proceed on the territorial issue, with Zelenskyy previously suggesting that a compromise solution such as a free economic zone could be theoretically possible if the Ukrainian people voted for it in a referendum. The critical stumbling block is likely to be when the plans are put to the Russian president, Vladimir Putin, who has given no sign he is willing to compromise on his war aims.

“If Putin rejects everything, we will end up with exactly what we are experiencing on our plane right now – turbulence,” said Zelenskyy, recording the comments after his plane took off from Berlin for the Netherlands for a series of meetings on Tuesday.

“I believe the United States will apply sanctions pressure and provide us with more weapons if he rejects everything. I think that would be a fair request from us to the Americans,” he said.

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Video: Brown Student Has Survived Two School Shootings

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Brown Student Has Survived Two School Shootings

Mia Tretta, a Brown student, survived a deadly shooting at her high school in 2019 and another attack on Saturday. As the authorities search for the gunman in the latest attack, she is coping with trauma again.

“The F.B.I. is now offering a reward of $50,000 for information that can lead to the identification, the arrest and the conviction of the individual responsible, who we believe to be armed and dangerous.” “It was terrifying and confusing, and there was so much misinformation, generally speaking, that I think everyone on Brown’s campus didn’t know what to do. This shooting does still impact my daily life, but here at Brown I felt safer than I did other places. And it felt like of course it won’t happen again. You know, it already did. But here we are. And it’s because of years, if not decades, of inaction that this has happened. Unfortunately, gun violence doesn’t — it doesn’t care whether you’ve been shot before.” “It is going to be hard for my city to feel safe going forward. This has shaken us.”

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Mia Tretta, a Brown student, survived a deadly shooting at her high school in 2019 and another attack on Saturday. As the authorities search for the gunman in the latest attack, she is coping with trauma again.

By Jamie Leventhal and Daniel Fetherston

December 15, 2025

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