Page 10 - Us Fed News Today

KUALA LUMPUR: The ringgit rebounded to end higher against the US dollar today as investors shifted their focus away from the greenback ahead of the United States (US) interest rate decision on Wednesday, said an economist.

Todays gains come on the back of buying in strong index heavyweights, a rise in Asian peers, as well as hopes of a US Fed rate cut and a populist budget due later this week. The BSE Sensex soared 896 points to 71,637.61 while the Nifty50 jumped 291 points to 21,429.60.

Indian headline indices opened in the green on gains in bank stocks and tracking positive cues from global markets. The top gainers were ONGC, Adani Enterprises, SBI Life, HDFC Bank, and Sun Pharmaceuticals. The top losers were Cipla, Dr Reddys Laboratories, Bajaj Auto, ITC, and Divis Laboratories. HDFC Bank stock rose nearly 2% after the banking regulator allowed LIC to up its ownership. Most major Asian indices were trading positive after the China regulators took new steps to support the mark...

The US Federal Reserve is widely expected to start cutting interest rates in the coming months, as inflation edges closer to its long-run target of two percent.

FPIs started the new year with a cautious approach opting to book profits in the Indian equity markets as they touched all-time high levels.

​Nomura on Friday forecast the U.S. Federal Reserve delivering a 100-basis-point interest rate cut in 2024 and reducing the pace of balance-sheet rundown in June, followed by an end to quantitative tightening in December.

Fridays government report showed that prices rose just 0.2% from November to December, a pace consistent with pre-pandemic levels and barely above the Feds 2% annual target. Measured from a year earlier, prices increased 2.6%.

A daily rundown of the economic reports and corporate earnings that will be grabbing the market’s attention in the week ahead

The U.S. economy grew at an unexpectedly brisk 3.3 per cent annual pace from October through December as Americans showed a continued willingness to spend freelly.

Vincent Mortier, Group CIO of Amundi, Europes largest asset manager, expects the US Federal Reserve to cut rates in June, not March, due to the softening economy and the need to support the US economy in an election year. Mortier also believes that the market is not prepared for this and there will be a repricing of stocks when investors realize that earnings will not grow as expected.