The Federal Reserve recently made the decision to leave interest rates untouched, despite acknowledging progress in key economic indicators. The Federal Open Market Committee (FOMC) decided to keep the benchmark rate within a range of 5.25% to 5.5%. This decision comes after a period of keeping rates steady, allowing time for data assessment to inform
Economy
The Federal Reserve is poised to keep interest rates steady following a two-day policy meeting, with indications pointing to the possibility of a cut in borrowing costs in the near future. Investors are optimistic about a rate reduction occurring at the September 17-18 meeting, with discussions revolving around whether the Fed will opt for a
The recent statements made by U.S. Deputy Secretary of State Kurt Campbell regarding India’s potential increase in engagement with Ukraine have sparked discussions about India’s evolving role in global affairs. As Western countries continue to impose sanctions on Russia for its invasion of Ukraine, countries like India and China have chosen to maintain trade relations
The recent analysis conducted by Piper Sandler on investment portfolios under the potential of a Kamala Harris presidency provides key insights into the future market scenarios. The review highlights the similarities between President Biden’s agenda and the anticipated agenda under a Harris administration. Despite potential differences in execution style, the core policies are expected to
Evercore ISI strategists believe that the Federal Reserve will most likely not explicitly pre-signal a rate reduction at the September meeting. They argue that the leadership of the Fed is methodically building a case for a rate cut and establishing internal consensus before making any definitive decisions. This caution in signaling a rate cut is
Is central banking truly as boring as some may think? Departing Swiss National Bank Chairman Thomas Jordan doesn’t seem to think so. In a recent interview, Jordan defended his tenure at the central bank, emphasizing the importance of staying focused on the task at hand and fulfilling the mandate of the institution. He believes that
China’s industrial profits have seen a 3.6% year-on-year rise in June, a significant improvement from the 0.7% gain in May. Despite this positive trend, the first half of the year only saw a 3.5% increase, slightly higher than the 3.4% growth in the preceding period. The National Bureau of Statistics (NBS) attributed this growth to
As the Bank of England (BoE) prepares for its upcoming meeting, speculation looms large over whether the central bank will cut interest rates from their current 16-year high of 5.25%. With key policymakers remaining silent due to election rules, investors are left in the dark regarding the potential outcome of the decision. Interest rate futures
The recent surge in the yen has caught the attention of traders and investors alike, with the currency poised for its strongest week in nearly three months. This unexpected turnaround comes after a period of weakness, during which the yen hit 38-year lows against the US dollar. The sudden shift in momentum can be attributed
In response to the surprise lowering of lending benchmarks to boost economic growth, five major state-owned Chinese banks have taken the initiative to cut deposit rates. Industrial and Commercial Bank of China (ICBC), Agricultural Bank of China, China Construction Bank, Bank of China, and Bank of Communications have all announced varying reductions in their deposit
Currency markets have been turbulent recently, with commodity currencies hitting multi-week lows due to weakness in Chinese demand. The Australian dollar, New Zealand dollar, and Canadian dollar have all suffered losses against the U.S. dollar as Chinese growth figures fell short of expectations and surprise rate cuts were implemented. This has led to a ripple
India’s recently unveiled 2024-25 budget seems to be an attempt by the government to address the challenges posed by a weakened job market and rural distress, which were highlighted as key factors in the BJP’s recent election setback. The Finance Minister, Nirmala Sitharaman, has allocated a significant amount of funding towards job creation and rural
China’s surprise decision to lower key short-term policy rates and benchmark lending rates came as a shock to markets around the world. The move signals the country’s determination to counter the economic challenges it currently faces, including weaker-than-expected economic data, looming deflation, a property crisis, rising debt, and subdued consumer and business sentiment. The recent
China recently made an unexpected move by cutting both short and long-term rates by 10 basis points, signaling a shift towards supporting economic growth. This decision came shortly after the release of a policy document outlining the country’s ambitions for the economy. The People’s Bank of China reduced rates on its seven-day reverse purchase agreements,