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Islamabad is hoping for up to $8bn under EFF under a programme spanning over two to three years

Rise in raw materials prices triggering fears that inflation could resurge

The price of gold is expected to test levels from $2,060 to $2,090 per ounce, and on any correction if $2035 holds, the prices may target $2,115 level in the current up-move, as per a report by Emkay...

If US interest rates fall further and bond yields ease, more money will start flowing into emerging markets. As the worlds fastest-growing major economy with a massive demographic dividend, India is likely to be one of the favourite markets for institutional investors.

A key rate decision from China meanwhile took centre stage in Asia, where expectations are for Beijing to leave lending benchmark rates unchanged at a monthly fixing on Monday.

The strong Indian economy and rally in the market have investors questioning whether this bull run can continue. Morgan Stanley believes it can. Heres why.

"Theres risk we could see further U.S. dollar strength today assuming Powell and (company) continue to remind markets of their higher for longer narrative," said Simpson.

Growth in the US has been boosted by a doubling of the federal fiscal deficit, from $1 trillion in the previous year to $2 trillion in FY ended September 2023. This increase in estimated supply of bonds would then keep yields on US government bonds elevated. In addition to raising interest costs for the government and affecting borrowing rates in the US, the yield on US government bonds also drives up rates for a substantial part of global cross-border capital flows. This is textbook crowding o...

The Fed expects the rate to be around 5% by end-2024, and 4% a year later, compared to todays 5.25-5.50%. These levels are higher than expectations earlier this year. Further, the strong US growth figure for the September quarter, at 4.9%, provides little incentive for rate-cutting. This has driven US treasury yields higher and roiled world markets. Geopolitical uncertainty hasnt helped either. Indian markets are closely correlated with global markets.

Move aimed at easing stress in market