Page 14 - Federal Reserve

Expect status quo on rate and no change in stance

As the festival season approaches, followed by elections, state and national, there will be pressure on liquidity since cash with the public will rise

Soaring in first half of FY24, equity markets likely to hit air pocket

Benchmark and broader market indices up 11-42% but rising US bond yields, oil prices threaten to pull them down

Federal govt headed into a shutdown; what does it mean and what's next?

The federal government is heading toward a shutdown that will disrupt many services, squeeze workers and roil politics as Republicans in the House, fuelled by hard-right demands for deep cuts, force a confrontation over federal spending. While some government entities will be exempt Social Security checks, for example, will still go out other functions will be severely curtailed. Federal agencies will stop all actions deemed non-essential, and millions of federal employees, including members of the military, won't receive paychecks. Here's a look at what's ahead if the government shuts down on October 1. WHAT IS A GOVERNMENT SHUTDOWN? A shutdown happens when Congress fails to pass some type of funding legislation that is signed into law by the president. Lawmakers are supposed to pass 12 different spending bills to fund agencies across the government, but the process is time-consuming. They often resort to passing a temporary extension, called a continuing resolution or CR, to a

US Federal Reserve policymakers expect 5.1% policy rate at end of 2024

The dialed back pace of anticipated policy easing next year goes hand in hand with what policymakers expect to be mixed progress toward the Fed's 2% inflation goal

Equity market dip, Federal Reserve signaling peak rate to boost gold

High oil prices would be detrimental; use any correction to build 5-15% allocation

Markets log best weekly gains since June; indices near lifetime highs

Banking stocks gain after I-CRR rollback

Fed's Powell says higher rates may be needed, will move 'carefully'

"It is the Fed's job to bring inflation down to our 2% goal, and we will do so," Powell said in a keynote address to the Jackson Hole Economic Policy Symposium

Sensex slides 366 pts, extends losing run to 5-weeks; Nifty tests 19,250

CLOSING BELL ON AUGUST 25, 2023: The BSE benchmark has shed 2.7 per cent or 1,797 points in the last five straight weeks. HDFC Bank, Larsen & Toubro and ITC were the major laggards on Friday.

S&P Global downgrades multiple US banks on growing liquidity worries

Borrowing costs globally have also surged, with the US Treasury yields hitting their highest in 16 years as the bond market rout entered its sixth week on Tuesday

Gold price falls Rs 380 to Rs 59,020; silver dips Rs 500 to Rs 72,500

The price of 22-carat gold dipped Rs 350, with the yellow metal selling at Rs 54,100

Goldman Sachs pencils in first Federal Reserve rate cut for Q2 of '24

Fed policymakers in March 2022 began ramping up their target for the benchmark rate to a range of 5.25 per cent to 5.5 per cent

Bond market sees no end to tumult as Federal Reserve casts a hawkish shadow

That uncertainty, along with an increase in new debt sales as the federal government contends with mounting deficits, has weighed on the bond market

Dollar slips before Fed decision, euro rises on ECB rate hike bets

The dollar index, a measure of the US currency against six major peers, fell 0.109% but was close to an almost two-week high touched on Tuesday

Rupee may struggle on uptick in US yields before Federal Reserve decision

Non-deliverable forwards indicate the rupee will open marginally lower to the U.S. dollar, compared with 81.87 on Tuesday

Marsh McLennan beats Q2 profit estimates on interest income boost

Ten successive rate hikes by the U.S. Federal Reserve have helped companies net higher interest income on funds they hold on behalf of clients

Largest US banks would survive severe recession, Fed's 'stress tests' show

The nation's 23 largest banks passed the Federal Reserve's so-called stress tests this year, a sign that the nation's banking system remains resilient despite the recent banking crisis that led to the failure of Silicon Valley Bank, Signature Bank and First Republic Bank. The Fed's report issued Wednesday did show some relative weakness among the midsize banks and "super regional" banks, with some getting a passing grade with a smaller cushion than usual. Those results could raise eyebrows among investors and policymakers. Fed policymakers also hinted that they could make the tests harder in future iterations, due to the banking crisis earlier this year. We should remain humble about how risks can arise and continue our work to ensure that banks are resilient to a range of economic scenarios, market shocks, and other stresses, said Michael Barr, the Fed's vice chair for supervision, in a statement. The stress tests have become an annual report card for the nation's financial system

Indian market has breadth and depth of firms to invest in: Sukumar Rajah

Our biggest overweight by sector is financial, where our top holdings include ICICI Bank and HDFC Bank. This reflects our optimism about the outlook for investment and consumption in the economy

Interest rate hikes will come at a 'careful pace' from here: Fed's Powell

Powell did not specify his own view on when and how high rates should move. Most policymakers see at least two more quarter-point rate increases by the end of this year

BofA expects Fed to deliver 2 more hikes, JPM adds July hike expectation

BofA Global Research now expects two more quarter percentage point interest rate hikes from the U.S. Federal Reserve this year

Federal Reserve to pause, keep option to raise interest rates in July

The rate decision and committee forecasts will be released at 2 pm in Washington. Chair Jerome Powell will hold a press conference 30 minutes later