Economy Financial News

BUENOS AIRES (Reuters) — Argentina's libertarian President-elect Javier Milei is sticking by his plans for economic «shock» therapy to fix the country's myriad crises from triple-digit inflation to rising poverty and a dearth of foreign currency reserves.

MILAN (Reuters) — Euro zone interest rates are close to their peak in the current cycle or may have already reached it, European Central Bank Governing Council member Joachim Nagel said on Wednesday, adding data would determine whether they needed to rise further.

RBC Capital Markets has introduced its year-end 2024 S&P 500 price target of 5,000 as the new year approaches.

By Naomi Rovnick, Samuel Indyk, Lucy Raitano and Harry Robertson

fall economic statement (FES), which is effectively a supplement or update to the vision laid out in the federal budget.“That is why we are making generational changes to competition law in Canada, including by cracking down on predatory pricing and other tactics that big corporations use to raise costs for Canadians,” Finance Minister Chrystia Freeland said.The FES discusses measures taken earlier this year, including Innovation Minister Francois-Phillippe Champagne calling on Canada’s major grocers to find ways to stabilize prices. Like Champagne’s prior comments, the FES says further actions are not ruled out, including tax measures for the grocery sector.The document also emphasizes in-progress work on Competition Act reforms, including honing in on “predatory pricing” by large companies.

UK’s economic growth forecasts had been downgraded, a blow for Rishi Sunak’s government going into an expected general election next year. The economy is due to grow 0.7% in 2024 and 1.4% in 2025, Hunt said in the House of Commons on Wednesday as he delivered his Autumn Statement, citing forecasts from the Office for Budget Responsibility. The OBR had previously forecast 1.8% growth for 2024 and 2.5% for 2025.

The Bank of Canada could start cutting interest rates before inflation reaches its two per cent target, but only if the labour market co-operates, economists at Desjardins Group say.

OTTAWA — Finance Minister Chrystia Freeland tabled a fall economic statement on Nov. 21 that aims to support middle-class Canadians amid soaring consumer prices and looming mortgage renewals.

LONDON (Reuters) — Britain's Office for Budget Responsibility revised down its estimate of the country's medium-term potential growth rate to 1.6% from 1.8%, as an ageing population works shorter hours on average and productivity growth slows.

WASHINGTON (Reuters) — The number of Americans filing new claims for unemployment benefits fell more than expected last week, but that likely does not change the view that the labor market is slowing amid higher interest rates.

LONDON (Reuters) — British finance minister Jeremy Hunt on Wednesday said he would cut the amount of National Insurance social security contributions paid by 27 million workers in a move that will save employees hundreds of pounds a year.

Shaktikanta Das on Wednesday said the rupee has witnessed "low volatility" and orderly movements as compared to its peers. Speaking at the annual FIBAC event, Das said household inflation expectations are becoming more anchored, but added that headline inflation is vulnerable to recurring and overlapping food price shocks. It can be noted that the rupee closed at an all-time low of 83.35 against the dollar on Monday, but gained some lost ground in Tuesday's trade.

(Reuters) — The average interest rate on the most popular U.S. home loan fell last week to its lowest level in two months as Treasury market yields, which act as a benchmark for mortgage rates, continued to move lower on the back of cooling inflation and a softening economy.

After decades as some of the world’s most disappointing stocks, Japanese equities are suddenly lighting it up once again

Axis Banks' chief Economist Neelkanth Mishra, who is also the part-time chairman of UIDAI. Speaking at a lecture in Bengaluru, the part time member of the Economic Advisory Council said India is in a better position to handle global headwinds than its Asian rival China. Mishra credited this growth to an increase in export of modern services, higher investment in infrastructure and better penetration of basic amenities through the country.

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Vishal Goenka, Co-Founder of IndiaBonds.com believes that the Fed will be in a long pause mode now and the long-end interest rates will be in a 4.50-5 per cent range. In an interview with Mint, Goenka said with the advent of regulated Online Bond Platform Providers (OBPPs), investors now have a wide choice of fixed-income investments. Edited excerpts: The recent surge in US yields was market acceptance of the fact that inflation is here to stay and interest rates will remain higher for longer.

UBS Global Wealth Management expects Japan’s cheaply valued stocks to extend their outperformance into 2024 amid a revival in domestic economic growth and gradual monetary policy tightening.

Dinshaw Irani, CIO, Helios MF, says “the RBI circular on raising risk weightages for various lending, made banks go back to the pre-Covid levels. The only thing was they came down heavily on the NBFCs rather than anything else. So that is the good part about the RBI move. I think they have done a wonderful job in controlling the asset quality within the system as such. That is one thing one should look out for. ” Have you picked anything up or looked at any interesting companies? There have been a lot of debuts this week? I would not like to comment on this, since now we are running a mutual fund, but I do not think we are too excited in the IPO market as of now. I would stay away from that. What else are you avoiding completely, where you say valuations are higher even though business is good? Basically, FMCG is one area which one needs to avoid. I do not think sustenance of 60-70 PEs for most of these stocks – I am talking about one-year forward PEs – is possible, given that even the rural markets are not firing and the growth rates are in low teens or even high single digits as such. So, that is one area that you need to avoid.

OpenAI, the startup behind artificial intelligence (AI)-based chatbot sensation ChatGPT, has reached an agreement with its ousted chief executive officer Sam Altman to bring him back to the company. The reconciliation, which comes barely five days after Altman's exit, is set to end the tenure of Emmett Shear who was given the top role two days ago. Shear, a former chief executive of Twitch, was announced as the interim CEO by OpenAI's embattled board on November 20.