Usa Financial News

Federal Reserve is set to reduce U.S. short-term borrowing costs on Wednesday, marking a significant shift after more than two years of battling high inflation. The central bank is expected to lower its key rate by either a quarter-point to 5.00%-5.25% or a half-point to 4.75%-5.00%, following a series of hikes that totaled 5.25 percentage points since March 2022. While the initial cut could be modest, the Fed is likely to continue lowering rates, aiming for a range between 4% and 4.5% by the end of the year, with more reductions planned for 2025. However, policymakers have indicated that rates will not return to the sub-2% levels seen prior to 2022, meaning the low mortgage rates of the past are unlikely to come back soon. Despite these cuts, inflation has cooled significantly, and average paychecks are now rising faster than prices. However, the high cost of goods, like groceries, continues to strain household budgets.

food inflation, State Bank of India (SBI) chairman C S Setty has said. The US Federal Reserve's first cut in interest rates in more than four years is expected soon, triggering central banks in other economies to follow suit. «On the rate front, a lot of central banks are taking independent calls. While Fed rate cut would influence everyone, RBI would be mindful of the food inflation before taking a call on interest rate cut,» Setty, who took over the reins of the bank recently, told PTI in an interview. «That is what our view is, and our view is also that the rate cut during the current calendar year may not happen, probably we may have to wait for Q4 (January-March 2025) unless there is a good improvement in terms of food inflation,» he said.

ICICI Bank on Wednesday surpassed the Rs 9 lakh crore market capitalization mark for the first time after the stock rose 2% to reach a new all-time high of Rs 1,295 on the BSE. Currently, ICICI Bank is the fifth-largest company by market capitalization, following Reliance Industries, Tata Consultancy Services, HDFC Bank, and Bharti Airtel. Around 3 PM, the company’s market cap was nearly Rs 9.11 lakh crore.

Manish Singh, Market Expert, says the reason the Fed is going to cut by 50 bps and why it should cut 50 bps is that if the inflation is on track to be at 2%, (it is at 2.5% now), what justifies the rates being this restrictive, as we have seen the most rapid increase in rates in the last 40 years. The rates have been at 5.25% for 14 months. What justifies it being at this high restrictive level? There is no point. So, for that reason you are going to get 50 basis point cut. While most analysts were holding the view that the American economy is fine, there is no recession right now or even on the horizon, a soft landing with a 25 basis point cut was turning up to be the consensus view. But now things have slightly changed in the run-up to the FOMC meet. Have not they? A 50 basis point rate cut does not seem completely unlikely. Manish Singh: No, it is not unlikely and we are going to get that and it is justified. Because if you look at where the two-year rate is, the two-year treasury yield is at 3.57% and the upper bound of the Fed fund rate is 5.5%, so we are talking about 190 basis point spread. You have to go back to 2008 to see the spread this wide.

Determined to thwart the automating of their jobs, about 45,000 dockworkers along the U.S. East and Gulf Coasts are threatening to strike on Oct. 1, a move that would shut down ports that handle about half the nation’s cargo from ships

Ruholamin Haqshanas is a contributing crypto writer for CryptoNews. He is a crypto and finance journalist with over four years of experience. Ruholamin has been featured in several high-profile crypto...

Shalini is a crypto reporter who provides in-depth reports on daily developments and regulatory shifts in the cryptocurrency sector.

Shalini is a crypto reporter who provides in-depth reports on daily developments and regulatory shifts in the cryptocurrency sector.

Narendra Modi will visit the United States from September 21 to 23 to participate in the 4th Quad Summit. While in the US, Modi is expected to meet former President Donald Trump, who confirmed the meeting himself. «He happens to be coming to meet me next week,» Trump remarked.

Donald Trump on Tuesday referred to India as a “very big abuser” concerning its trade policies, specifically regarding import tariffs. Speaking at a campaign event in Michigan, Trump emphasized that India’s tariffs on imports were unfair, reflecting his long-standing critique of global trade practices. He said, «So when India, which is a very big abuser. He (Modi) happens to be coming to meet me next week, and Modi, he's fantastic. I mean, fantastic man. A lot of these leaders are fantastic.» He added that countries like Brazil and China also impose tough trade terms on the US, but China, in particular, was the most challenging of all. Further emphasizing India's competitive stance in global trade, Trump remarked, «They're not a little bit backwards...You know the expression, they're at the top of their game, and they use it against us. But India is very tough.» He also noted that Brazil, like India, maintained strict policies that made it difficult for the US to engage in fair trade. Also Read: Why is Donald Trump meeting Indian Prime Minister Narendra Modi ahead of the US Presidential Polls?

Shalini is a crypto reporter who provides in-depth reports on daily developments and regulatory shifts in the cryptocurrency sector.

interest rate cuts almost certain in the current calendar year, non-banking lenders are poised to benefit the most, offering better risk-reward ratio in the current market conditions. The US Federal Reserve is expected to initiate a rate-cut cycle, either in its latest meeting or the following one. Once the Fed begins easing key interest rates, the Reserve Bank is likely to follow suit, aligning its monetary policy accordingly.

Yemen’s Houthi rebels have shot down two American MQ-9 Reaper drones in under a week, further highlighting the regional spread of the Israel-Hamas war

Smaller Southeast Asian markets may continue to do better than larger ones, while a significant rise in the yen might cause volatility in the Japanese market and high-performing chip stocks. Fear of an unwind in the yen carry trade has the potential to hit markets globally.

The group, Students for Fair Admissions, has focused on three universities — Princeton, Yale and Duke — where there were notable declines in Asian American enrollment this year compared with last year, which the group said defied expectations. On Tuesday, Students for Fair Admissions sent letters to the schools questioning whether they were complying with the rules laid out by the Supreme Court. Princeton, Duke and Yale also saw minor differences in Black and Hispanic enrollment in the first class of students admitted since the court struck down race-conscious admissions.

«Because there is growth slowdown and I have been in India for the last couple of days and there are visible signs of slowdown, whether it is real estate in northern India or consumption part of the economy,» says Rahul Chadha, Shikhara Investment. What is it that you are making of the market right now? I mean, all the valuation concerns aside, markets and not just us, globally, they do not want to stop. Rahul Chadha: I think what markets are looking is what Fed would do tomorrow. So, September 18th is when Fed comes for a meet and clearly, we are seeing globally economic data being soft but the hope is that policymakers, particularly here, the central banks come quickly, act quickly, and cut rates quickly, so which is where 50 bps cut from Fed would be reassuring and we have had some statements from the Fed members saying that Fed should go to neutral rates very quickly.

US Fed meeting, although rotational buying in large-cap stocks is maintaining a positive tone," said Ajit Mishra – SVP, Research, Religare Broking. Here's breaking down the pre-market actions:

Bitcoin experienced steady growth over the past week recovering from a low of $54,000 to currently trading at $58,000.The week began with the Federal Bureau of Investigation (FBI) releasing a comprehensive report on global crypto scams in 2023, revealing staggering losses. The U.S. topped the list, with over $4.8 billion lost to crypto scams, followed by Canada and the UK. India ranked fifth, with reported losses exceeding $44 million. To avoid falling for such scams, one must Research thoroughly before investing, avoid too-good-to-be-true offers and only use trusted platforms for investing. The presidential debate between Donald Trump and Kamala Harris was the most anticipated, where the crypto community expected a focus on crypto regulation. However, the debate largely centered on other pressing issues such as economic uncertainty, inflation, and abortion rights, with no mention of crypto. This omission left many in the crypto community disappointed, leading to brief selling pressure on Bitcoin. Despite this dip, Bitcoin quickly recovered within a few hours. The same day saw the release of the Consumer Price Index (CPI) data, which showed better-than-expected inflation numbers. This data provided certainty to the crypto community that there will surely be a rate cut in the upcoming FOMC meeting strengthening the market sentiment.

U.S. stocks drifted to a mixed close near their all-time highs ahead of a highly anticipated meeting of the Federal Reserve

Since graduating with a degree in economics from the University of Birmingham in 2018, Joel has worked as a financial market/cryptocurrency analyst. He firmly believes that emerging crypto technology...

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