Fed

ETMarkets Smart Talk: Retail investor sentiment bullish but caution required as markets peak, warns Ashwani Dhanawat

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ETMarkets Smart Talk: Retail investor sentiment bullish but caution required as markets peak, warns Ashwani Dhanawat

“While the Indian market’s record highs reflect strong investor confidence and growth potential, it also warrants caution about overvaluation,” says Ashwani Dhanawat, Executive Director & Chief Investment Officer, Shriram General Insurance Company. In an interview with ETMarkets, Dhanawat said: “A balanced approach optimistic for the long term but mindful of short-term risks is essential for … Read more

Fed is about to get validation for its jumbo rate cut

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Fed is about to get validation for its jumbo rate cut

The Federal Reserve’s preferred price metric and a snapshot of consumer demand are seen corroborating both the central bank’s aggressive interest-rate cut and Chair Jerome Powell’s view that the economy remains strong.Economists see the personal consumption expenditures price index rising just 0.1% in August for the second time in three months. The inflation gauge probably … Read more

emerging markets: Cameron Brandt on implications of rate cut for Emerging Markets?

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emerging markets: Cameron Brandt on implications of rate cut for Emerging Markets?

“Historically, a cut of this size certainly triggers some discussion about whether it is triggered by current economic weakness or a desire to not be behind the curve,” says Cameron Brandt, EPFR Global. First things first, how is it that one should be reading into this outsized rate cut by the Fed? I mean, is … Read more

World braces for Fed easing amid 36-hour rate rollercoaster

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World braces for Fed easing amid 36-hour rate rollercoaster

The world economy’s tectonic plates will shift this week when a US easing cycle begins, just as officials from Europe to Asia set policy against a backdrop of brittle markets. A 36-hour monetary rollercoaster will start with the Federal Reserve’s probable decision to cut interest rates on Wednesday, and finish on Friday with the outcome … Read more

asian stocks: Asian stocks fluctuate as traders await US CPI: Markets wrap

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asian stocks: Asian stocks fluctuate as traders await US CPI: Markets wrap

Asian stocks fluctuated as traders shrugged off a rebound on Wall Street ahead of key US inflation data due this week. Stocks in Tokyo and Sydney inched up, with Hong Kong futures pointing to gains. The moves come after a rise on Wall Street, a reprieve from the September selloff triggered by concerns of a … Read more

stock market news: Stocks, bonds struggle for momentum into US jobs: Markets wrap

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stock market news: Stocks, bonds struggle for momentum into US jobs: Markets wrap

Stocks, bonds and major currencies held to tight ranges Friday as traders prepared for US jobs data that will help determine the size of a Federal Reserve rate cut later this month. Shares in Japan fluctuated, as the yen stabilized after a rally this week, while those in Australia were little changed. Futures for US … Read more

Why Fed rate cuts are no magic fix for anemic hiring in US

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Why Fed rate cuts are no magic fix for anemic hiring in US

Chair Jerome Powell cemented a shift in focus from inflation to employment last week when he said that the Federal Reserve does not seek a further cooling in the labor market. It was a welcome message for those concerned about an economic slowdown. But there are reasons to expect today’s sluggish hiring environment to persist … Read more

Wall Street ends sharply higher as Powell cements September rate cut hopes

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Wall Street ends sharply higher as Powell cements September rate cut hopes

U.S. stocks rallied on Friday as dovish remarks from U.S. Federal Reserve Chair Jerome Powell solidified expectations that the central bank will cut its key policy rate in September. In highly anticipated comments before the Jackson Hole Economic Symposium, Powell said “the time has come” to lower the Fed funds target rate, and “the upside … Read more

US recession fears are rising, but here’s why it may not be too hard a landing this time

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US recession fears are rising, but here’s why it may not be too hard a landing this time

Turmoil in the markets has renewed fears that the US did not escape history after all, that a hard landing — a recession — is coming. Whether this is all a blip from a rising yen or a justified reaction to an actual weakening of the US economy is still unknowable. But there are reasons … Read more

America’s debt crisis is getting too big to solve?

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America’s debt crisis is getting too big to solve?

Fiscal conservatism has more or less vanished from America’s political landscape. Government borrowing, despite the strong economy, continues to push public debt to record levels – and the presidential contenders and their parties say scarcely a word about it. To the extent they discuss economic policy at all, their intentions on taxes and public spending … Read more