Page 9 - Us Federal Reserve

Moody's downgrade of US rating may not dent stock markets much: Analysts

Moody's downgrade, analysts said, was more to get the rating in sync with Fitch and S&P, who have already downgraded US' ratings.

US consumer sentiment hits 3-year low as trade war raises inflation fears

US consumer sentiment fell slightly in May for the fifth straight month, surprising economists, as Americans increasingly worry that President Donald Trump's trade war will worsen inflation. The preliminary reading of the University of Michigan's closely watched consumer sentiment index, released Friday, declined 2.7 per cent on a monthly basis to 50.8, the second-lowest level in the nearly 75-year history of the survey. The only lower reading was in June 2022. Since January, sentiment has tumbled nearly 30 per cent. Americans have largely taken a sour view about where the economy is headed in the wake of the Trump administration's imposition of huge import duties, which threaten to slow growth and push up prices. In recent weeks the White House has pulled back on its most draconian policies, though average duties are still high by historical standards. Consumers' outlooks are also sharply divided by their political views, which has caused some economists to question the survey's ..

Trump blasts Fed chair Powell, calls him 'fool' for not cutting rates

Trump named Powell as the Fed chair in 2018, during his first term in the White House, and Democratic President Joe Biden appointed Powell to a second four-year term in 2022

Fed won't be rushed, outlook depends on White House, says Jerome Powell

The rate-setting panel voted unanimously to keep the benchmark federal funds rate in a range of 4.25 per cent to 4.5 per cent, where it's been since December

Gold price jumps ₹2,400 to ₹99,750-10g ahead of US Fed policy decision

Gold prices surged Rs 2,400 to Rs 99,750 per 10 grams in the national capital on Tuesday due to persistent buying by jewellers and stocks, according to the All India Sarafa Association. On Monday, the precious metal of 99.9 per cent purity had ended at Rs 97,350 per 10 grams. Extending the gains for the third straight day, gold of 99.5 per cent purity jumped Rs 2,400 to Rs 99,300 per 10 grams on Tuesday. It had closed at Rs 96,900 per 10 grams in the previous close. "Gold prices edged higher as safe-haven demand returned following President Donald Trump's announcement of fresh tariff plans. "The proposed measures include duties on pharmaceutical imports and a steep 100 per cent tariff on movies produced outside the United States -- a move that stoked concerns over renewed trade tensions and their potential impact on global growth," Abans Financial Services' Chief Executive Officer Chintan Mehta said. As per the Sarafa Association, silver prices also climbed Rs 1,800 to Rs 98,500 p

US Fed interest rate decision, earnings likely to drive markets this week

The US Fed interest rate decision, trading activity of foreign investors and quarterly earnings from corporates would largely drive the momentum in the equity market this week, analysts said. Escalating tensions between India and Pakistan over the Pahalgam terror attack will also remain on investors' radar, they added. Optimism over a potential trade agreement with the US and sustained FII (Foreign Institutional Investors) inflows helped markets end the last week on a positive note. But market experts said that due to the fragile global environment amid geopolitical tensions and the ongoing tariff war, investors are not betting big on equities. Among macroeconomic data announcements this week, HSBC services PMI (Purchasing Managers' Index) would be watched by investors. "This week is crucial, packed with key domestic and global triggers. Developments regarding tariff and geopolitical tensions with Pakistan will remain on the radar. On the macroeconomic front, investors would be eye

US economy likely to slow sharply amid trade tariff hikes, says Nomura

The US growth is going to slow quite sharply, close to recession, says Robert Subbaraman

IMF economist backs central bank independence after Trump's remarks

Pierre-Olivier Gourinchas said central banks faced a delicate moment in managing inflation, especially in countries like the United States

Trump warns of economic slowdown unless US Fed cuts interest rates

U.S. stocks slid further after the president's social media post. The benchmark S&P 500 Index was down 2% on the day

Trump, advisers to study whether to fire Fed's Powell: WH economic adviser

Hassett went on to suggest that the Fed under Powell, who was appointed by Trump during his first term, had acted politically to benefit Democrats

Trump says Fed chair Powell's termination can't 'come fast enough!

Trump, in a post on his social media platform Truth Social, reiterated his stance on rate cuts, saying that Powell should have lowered interest rates

Navigating the tariff shock: India's balancing act on global trade

There is relief that the so-called reciprocal tariffs have been put on hold for 90 days, though the base tariff of 10 per cent remains

Chief Justice lets Trump fire 2 officials; Fed Chair Powell's job at risk?

US Chief Justice John Roberts allows Trump to remove two agency heads as the Supreme Court takes up a case that could ultimately affect the job security of Fed Chair Jerome Powell

US inflation slows in March, offering relief before looming tariff impact

The inflation slowdown reflected a decline in energy costs, used vehicles, hotel stays and airfares. The cost of motor vehicle insurance

US Fed could be in 'difficult' spot with higher prices, slower hiring

The prospect of high inflation stemming from widespread tariffs along with weaker hiring could put the Federal Reserve in a difficult spot, Fed policymakers said in minutes from last month's meeting. The minutes, released Wednesday, said that the Fed could keep its benchmark interest rate unchanged if inflation remained stubbornly elevated. And they said it could cut its rate if growth slowed and unemployment rose. The minutes were for the Fed's March 18-19 meeting. But if both happened at the same time, the Fed may face difficult tradeoffs, some of the 19 officials on the central bank's interest-rate setting committee said. Rising unemployment can often lead to a recession, when the Fed would normally slash its key rate to support more borrowing and spending and stimulate the economy. Yet Fed officials would likely be reluctant to cut if inflation rose, because it usually seeks to cool higher prices by keeping its key rate unchanged or even raising it if necessary. The minutes ..

Fed's Musalem sees growth slipping below trend, higher inflation risk

Higher prices from tariffs could lead to a one-time price shock that the Fed could largely look through in setting policy, though Musalem said he regarded that approach as risky

Risk of a waterfall decline in the US stock market is rising: Chris Wood

Tariff hikes are plain news as the historic precedent of the Smoot-Hawley Tariff Act of 1930 highlights. This is an impoverishment day, not a liberation day, Wood said in his weekly note GREED & fear.

Private sector forecasters see greater recession risk: Fed's Jerome Powell

Powell further said that he is not going to leave the chairmanship of the central bank before his term comes to an end. "I fully intend to serve all of my term," he said

Gems & jewellery exporters jittery over steep hike in US reciprocal tariff

Exports will be badly hit in the next couple of months until the cost impact is analysed by US consumers and Indian exporters, said industry players

Tariffs raise recession risks in US, put Fed in tight spot: VK Vijayakumar

Trump Tariff News: The short-term impact on the market will be negative. The probability of US recession by end 2025 has increased