INFLATION MOVING
US inflation data, IT stocks propel Indian indices to fresh highs
The NSE Nifty rose 186.20 points, or 0.77%, to close at 24,502.15, having hit a lifetime high of 24,592.20 during the day. The BSE Sensex rose 622 points, or 0.78%, to end at 80,519.34, down from an intraday record of 80,893.51.
Rupee ends weaker, pressured by state-run banks' dollar bids; eye on US inflation
The rupee ended at 83.56 vs. the U.S. dollar, pressured by state-run banks and Asian peers like the won rising.
Dollar adrift ahead of US inflation test; sterling firms
The dollar saw a slight decline while sterling strengthened on reduced expectations of a BoE rate cut. Markets await the U.S. inflation report. Fed Chair Powell emphasizes need-based interest rate decisions. BOJ considering tapering bond purchases. Global currencies trading flat with potential shifts ahead.
Fed would not wait for 2% inflation to consider rate cut: Powell
The US central bank will not want to wait for inflation to cool to its two percent target before considering a rate cut, Federal Reserve Chair Jerome Powell told lawmakers Wednesday. On Wednesday, Powell told lawmakers that he is not yet prepared to express confidence that inflation is moving sustainably down to two percent.
Fed's Powell says not ready yet to declare inflation fight over
Federal Reserve Chair Jerome Powell stated on Wednesday that he was not ready to declare victory over inflation yet. He emphasized that the U.S. is still on the path back to stable prices and sustained low unemployment. Powell and other Federal Reserve officials have made it clear that they will not reduce interest rates until they are more confident that inflation is moving towards the central bank's 2% target.
June retail inflation may remain unchanged at 4.7%
India's retail inflation likely remained steady at 4.7% in June, consistent with May's 4.75%, according to a poll of 10 economists by ET. The forecast range was 4.5% to 5.19%, driven by heatwaves, below-normal monsoon rains, and higher fruit and vegetable prices. The government will release the CPI data on July 12. Economists noted that festive demand and weather conditions raised vegetable prices, particularly onions and tomatoes. The Monetary Policy Committee is expected to maintain its stance until monsoon outcomes and food inflation impacts are clearer, with potential rate cuts anticipated no earlier than December 2024.
- Go To Page 1
US economy no longer overheated, Fed's Powell tells Congress
Fed Chair Jerome Powell informed Congress that the U.S. job market has cooled from its pandemic extremes, indicating a stronger case for potential interest rate cuts. Powell emphasized the balance of risks the Fed now faces, highlighting recent improvements in inflation and economic conditions. Despite not signaling specific future actions, analysts suggest Powell's remarks hint at a possible rate cut as early as September. The Fed’s policy rate remains at 5.25% to 5.5% since July 2023. Powell’s semiannual Senate testimony will be followed by a House hearing on Wednesday.
Bullish on telecom stocks; ARPUs will continue to move up: Sridhar Sivaram
Financials, I already spoke about. Power and power equipment is something that we really like because we think that in the wind and in solar we could see doubling of capacity in the next three-four years.
Telcos' tariff hikes to push up core inflation by 0.2 pc in FY25: Report
The recent tariff hikes by the top three telcos in the country are expected to raise core inflation by 0.20 per cent in FY25, with analysts at Deutsche Bank revising their core inflation forecast to 3.8 per cent. The impact of the hikes is anticipated to be felt from July onwards, potentially pushing month-on-month core inflation by over 0.85 per cent. The Reserve Bank of India is closely monitoring the inflation trajectory, especially considering factors like below-trend monsoon rains and fluctuating food prices.
Nifty bulls await directional move, auto stocks in focus
Auto stocks were in focus amid the release of June month sales numbers. Shares of Samvardhana Motherson, Hero Moto, Bharat Forge, Maruti Suzuki, and Bajaj Auto rallied over 1% each. Within the Nifty50 pack, JSW Steel, and Bharti Airtel rallied over 1%, while NTPC, Power Grid, and Apollo Hospitals fell up to 2%.
5 world market themes for the week ahead
Euro 2024 excitement rises with political shifts in Britain and France. M&A activity surges amidst economic uncertainties. Emerging Asia grapples with inflation as central banks navigate rate decisions. Labour's potential win in Britain poses fiscal challenges. The market awaits U.S. job data impact on Federal Reserve's rate policy.
Fed gets heartening inflation data, but slow road ahead
The US Federal Reserve has received encouraging data suggesting inflation is cooling, which has eased concerns about the effectiveness of monetary policy. However, the road to the Fed's 2% inflation goal, measured in year-over-year terms, is likely to be long, complicating discussions about when to cut interest rates.
US inflation cools in May; consumer spending rises moderately
ART HOGAN from B RILEY WEALTH notes the stable 2.6% core PCE, potentially leading to Fed rate cuts. The overall economic indicators suggest a favorable environment for equities, with ongoing downward trends in treasury yields.
Wall Street closes subdued as investors sit, wait for inflation data
Tech stocks like Amazon surged as market volatility persisted. Atlanta Fed President hinted at rate cuts amidst narrowing inflation. Micron's revenue forecast met mixed reactions, reflecting ongoing market uncertainty.
India moving towards 8% annual growth, at the threshold of major structural shift: RBI Governor Shaktikanta Das
RBI Governor Shaktikanta Das, addressing the 188th AGM of Bombay Chamber of Commerce & Industry in Mumbai, highlighted that India stands on the verge of a significant transformation in its growth path. He discussed the RBI's projected growth rate of 7.2% but also raised concerns about factors such as weather conditions, geopolitical tensions, trade disruptions, and financial market volatility. Despite these challenges, the governor expressed confidence in India's ability to achieve the forecasted growth.
Gold gains on dollar retreat, focus on US inflation data
Gold prices rose on Monday, helped by a pullback in the dollar, while investors looked forward to U.S. inflation data due later this week that could offer more clarity on the Federal Reserve's monetary policy.
Ahead of Market: 10 things that will decide D-Street action on Thursday
The NSE Nifty 50 and S&P BSE Sensex opened at all-time highs, rising about 0.3% each, before closing with the Nifty down 0.18% to 23,516 and the Sensex up 0.05% to 77,337. The MACD indicator signals bullish momentum for Hitachi Energy India, Axis Bank, Force India, Ingersoll-Rand India, and JITF Infralogistics.
Dollar steadies; sterling dips ahead of inflation test
The dollar weakened after soft U.S. retail sales data increased expectations of Federal Reserve rate cuts, while sterling dipped ahead of UK inflation data. Markets predict a 67% chance of rate cuts in September.
Deposit rates peak; to move downwards in medium term: SBI Chairman
The country's largest lender also said the RBI may start easing the interest rate cycle from the third quarter of the current financial year. Last week, the Reserve Bank of India (RBI) left its key interest rates unchanged for the eighth time in a row, keeping the focus on inflation amid robust economic growth.
ECB cuts rates, keeps next move under wraps
The European Central Bank cut interest rates for the first time in five years, lowering the deposit rate to 3.75%. The move came in response to inflation uncertainty following a slowdown. This move is seen as the start of an easing cycle, but future cuts may be delayed due to price and wage pressures. ECB remains data-dependent and may wait until September for further action. Fed's stance may impact ECB's decisions.
S&P 500, Nasdaq drop as investors weigh Fed moves after inflation data
At 11:29 a.m. ET, the Dow Jones Industrial Average had risen 57.67 points (0.15%) to 38,169.15. Meanwhile, the S&P 500 had fallen 26.62 points (0.51%) to 5,208.86, and the Nasdaq Composite had dropped 206.02 points (1.23%) to 16,531.06. Investors are anticipating comments from Raphael Bostic, President of the Atlanta Federal Reserve and a voting member of the Federal Open Market Committee, later in the day.
GIFT Nifty up 35 points; here's the trading setup for today's session
Tech View: "The recent decline has disrupted the positive momentum, with Nifty falling below its crucial short-term moving average, the 20 DEMA. A decisive break of the 22,400 level could trigger a further drop to the 22,000-22,150 zone. We suggest aligning trades accordingly and adopting a hedged approach," Ajit Mishra, Senior Vice President, Research at Religare Broking.
Dollar ebbs as markets await key global inflation reports
The dollar weakened on Tuesday awaiting key inflation data for global interest rate guidance. Euro held steady despite dovish ECB comments. GBP and NZD gained, with focus on US PCE price index report on Friday.
Fed officials back higher-for-longer rates
Minutes from the two-day Federal Open Market Committee gathering ending May 1 showed that, while participants assessed that policy was "well positioned," various officials mentioned a willingness to tighten policy further if warranted.
A $90 billion fund says Indian bonds underpricing index move
India will be included in JPMorgan Chase & Co.’s key emerging market bond index as of next month, and foreigners have sent a net $8.2 billion into the eligible bonds since the announcement in September.
Fed's Powell: PPI mixed, next move unlikely to be a rate hike
Though he said "my confidence in that is not as high as it was," given faster than expected inflation through the first three months of the year, the U.S. central bank chief said it remained unlikely in his view that the Fed would have to raise rates any further, even if the prospect for rate cuts has become less certain.
BoE leaves key rate unchanged at 5.25%; moves closer to first rate cut since 2020
The BoE said on Thursday its Monetary Policy Committee voted 7-2 to keep rates at a 16-year high of 5.25% after Deputy Governor Dave Ramsden joined Swati Dhingra in voting for a cut to 5%. The MPC has now kept rates on hold at six meetings in a row but it hinted that a first cut since March 2020 at the onset of the COVID-19 pandemic could come as soon as its next meeting in June, a potential boost for Prime Minister Rishi Sunak.
Monetary policy expectations impact stocks more than rate moves: RBI paper
Equity markets are impacted more by the expectations of future monetary policy than the policy rate surprises on the day of announcement of the policy by the Reserve Bank, said an analysis.
Inflation sustainably moving towards RBI target enough for a rate cut: Ashima Goyal
Ashima Goyal emphasized India's resilience to supply shocks and anchoring of inflation expectations. Bhide expects food inflation to ease in 2024. Both acknowledged inflation risks from geopolitical tensions.
Load More
