Page 14 - Us Federal Reserve

Fed drives global push to cut rates despite uncertainties over 2025

Whatever happens, a sustained period of central bank activism, in contrast to the recent hiatus of higher-for-longer rates, is likely to take hold

US economy in 'solid shape' with gradual rate cuts coming, says Powell

Federal Reserve Chair Jerome Powell signalled on Monday that more interest rate cuts are in the pipeline but suggested they would occur at a measured pace intended to support a still-healthy economy. His comments, at a conference of the National Association for Business Economics in Nashville, Tennessee, disappointed the hopes of many investors that the Fed would implement another steep half-point reduction in its key rate before the end of the year. The Fed cut its rate by a larger-than-usual half point earlier this month as it has moved past its inflation fight and pivoted toward supporting the job market. The broad S&P 500 stock index initially fell 0.6 per cent after his remarks, but recovered afterwards to close about 0.4 per cent higher. "We're looking at it as a process that will play out over some time," Powell said during a question and answer session, referring to the Fed's interest rate reductions, "not something that we need to go fast on. It'll depend on the data, the

SNB cuts interest rates by 25 basis points for third time this year

Markets had priced in a 55 per cent probability of a 25 basis point cut before the decision

US 30 year mortgage rate slips to 6.13%, refinancing activity jumps

Refinancing now accounts for more than 57 per cent of all mortgage applications, the data show, above the historic median of 48 per cent

US Fed's relaxed bank capital plan faces pushback from regulator: Report

At least three of five FDIC board directors whose support is needed to formally propose the new draft currently oppose doing so, the sources said

Gold breaks $2,600 barrier as Fed rate cut bets prolong historic run

Prices of gold have climbed 26 per cent in 2024, its biggest annual rise since 2010, as investors also sought to hedge uncertainties spurred by prolonged conflicts in the Middle East and elsewhere

US Fed cuts rate: Here’s what top brokerages are saying

The US Federal Reserve has lowered interest rates by 50 basis points, from 5.25-5.5 per cent to 4.75-5 per cent, marking its first cut since 2020. This decision comes due to concerns about the job mar

Rupee, govt bond stronger after US Federal Reserve's 50 bps rate cut

The Federal Reserve began its easing cycle with a somewhat unexpected 50 basis point rate cut, implicitly acknowledging that rates may have been held too high for too long

Record Galore! Why has Sensex rallied 1,360 points today; details here

Stock Market News: The BSE Sensex soared 1,500 points today to hit a fresh record high of 84,694.5 intraday. The Nifty50, too, saw robust gains of 433 to it a new high of 25,849

Fed made 'declaration of progress' with interest rate cut, says Biden

President Joe Biden said on Thursday the Federal Reserve's decision to lower interest rates was an important signal that inflation has eased as he poked at Donald Trump's economic policies as a failure in the past and sure to fail again if revived. Lowering interest rates isn't a declaration of victory," Biden told the Economic Club of Washington, DC. "It's a declaration of progress, to signal we've entered a new phase of our economy and our recovery. The Democratic president emphasised that there was more work left to do, but he used his speech to burnish his economic legacy even as he criticised Trump, his Republican predecessor who is running for another term. Trickle down down economics failed," Biden said. "He's promising again trickle down economics. It will fail again. Biden said Trump wants to extend tax cuts that disproportionately benefit the wealthy, costing an estimated USD 5 trillion, and implement tariffs that could raise prices by nearly USD 4,000 per family, somethi

Wall Street rallies after Federal Reserve cuts interest rates 50 bps

Intuitive Machines soars after clinching NASA contract; Dow 0.40%, S&P 500 0.52%, Nasdaq 0.79%

US Fed rate cut: How leading brokerages interpret the development

US Fed rate cut: Policymakers, according to reports, expect the Fed's benchmark to fall another half of a percentage point by 2024-end, and another one per cent in 2025

US Fed rate cut to help emerging nations in taking similar step: CRISIL

The US Fed rate cut of 50 basis points will make it easier for the central bank in emerging countries, including India, to slash key policy rates, Crisil Chief Economist D K Joshi said on Thursday. Joshi also said Crisil is expecting food inflation to come down for FY25 if monsoon does not play spoilsport at the end of the season. "US Fed rate cut makes it easier for central banks in emerging countries, including India, to cut rates. But rate cuts in India, I think, will happen when there is a durable reduction in food inflation. And we do expect durable inflation to take place because higher than normal monsoon rains are playing out this year. So, the stars have aligned for rate cuts to happen in India," Joshi told PTI. "Our forecast is that the RBI may cut key policy rates within this calendar year," he said. Late Wednesday, the US Federal Open Market Committee voted to cut the federal funds rate target range by 50 bps to 4.75-5 per cent, from 5.25-5.50 per cent, against ...

Gold, Equities, Oil, Bonds: What next for these assets after Fed rate cut?

US Fed rate cut: Asian equities, however, saw meaningful gains Thursday morning where Indian stock market hit fresh record highs

Fed's balancing act: Why this rate-easing cycle will be different

Since the US economy is not in distress, lower interest rates may increase spending relatively quickly. Also, Mr Powell termed the cut a calibrated attempt to take the policy rate to the neutral rate

Gold rises to record high after Fed makes first rate cut since 2020

Gold, Treasuries and the S&P 500 Index have all typically risen as the Fed starts lowering rates, according to an analysis of the past six easing cycles going back to 1989

US Fed cuts interest rates: What does this mean for the global economy?

The US Federal Reserve on September 18, reduced its benchmark interest rates by 0.5%. This marked the first rate by the US Fed since 2020. How does the Fed's rate move affect global economies?

Experts divided on impact of Fed rate cut for emerging markets like India

Experts shared mixed views on the impact of the half-point benchmark rate cut by the US Federal Reserve, as some believe cheaper financing could boost investment flows, others said it could lead to a decline in returns on equity and a rise in gold prices. The US Federal Open Market Committee voted to cut the federal funds rate target range by 50 bps to 4.75-5 per cent, from 5.25-5.50 per cent, against expectations of a cut half that size. The US central bank had kept interest rates at an over two-decade high for 14 months. According to PHDCCI President Sanjeev Agrawal "We expect that the cut in the Federal Reserve rate could lead to a decline in returns on equity and a rise in gold prices". Echoing similar sentiments, Colin Shah, MD at Kama Jewellery, said this scenario must be taken positively, as the rate cut has opened doors for gold to scale new highs shortly, reinstating the might of the yellow metal as an investment haven. Some experts believe the Fed rate cut could lead to

Impact of US Fed rate cut might be muted in India: CEA Nageswaran

The US Federal Open Market Committee on Wednesday voted to cut the federal funds rate target range by 50 basis points to 4.75-5.00 per cent from 5.25-5.50 per cent

Tactically cautious on India, Fed rate cut quantum a surprise: Chris Wood

If the US Federal Reserve (US Fed) rate cut is combined with a weaker dollar then the EMs (ex-China) should do well