Economy Financial News

By Davide Barbuscia

Investing.com-- Most Asian currencies were muted on Thursday, nursing steep overnight losses as the dollar firmed tracking a spike in Treasury yields before a closely-watched address by Federal Reserve Chair Jerome Powell.

Feroze Azeez, Deputy CEO, Anand Rathi Wealth, “the Indian market has operated with high inflation and a high interest rate economy for long periods of time. So, I do not see that as a big risk for India and if you look at the correlation between yields and the cash flows of FII, the correlation is significantly lower this time around.” In the US 10-year, 4.8% has been breached. What are the other downside risks to the markets that can play out over the next year or so because markets are very close to all-time highs? Of course, the 10-year Fed rate is at 4.8%. The last 10 years’ average of the 10-year Fed rate is 2.2%. We are trading at 150% greater in the US market. If you compare that to the Indian situation, the 10-year G-Sec average for the last 10 years is close to 6.8%. We are at 7.3%, that is just less than 10%. But in the US 10-year, there is a 150% rise, that is point one.

(This story originally appeared in on Oct 19, 2023)

“Geopolitical events tend to have long-term consequences. However, these challenges are difficult to quantify for the equity markets,” says Naveen Kulkarni, Chief Investment Officer, Axis Securities PMS. In an interview with ETMarkets, Kulkarni said: “More often than not, these challenges eventually manifest in the form of higher inflation, say higher crude oil prices, in this instant” Edited excerpts: October is turning out to be a roller coaster ride for investors in equity markets. Will geopolitical concerns have a long-term impact on equity markets if things escalate? Geopolitical events tend to have long-term consequences. However, these challenges are difficult to quantify for the equity markets.

central bank kept its interest rate unchanged for a sixth straight meeting on Thursday while retaining a tightening bias, as policymakers stayed alert to higher oil prices that could interrupt a moderation in inflation. The Bank of Korea (BOK) said price pressures would remain for longer than expected due to heightened uncertainties surrounding the Israel-Hamas conflict and global oil prices. «The timing of consumer price inflation converging on the target level is more likely to be delayed than previously expected,» it said in a statement after keeping its key policy rate at 3.50%, as expected by all 49 economists polled by Reuters. The South Korean economy has taken a hit from a cumulative 300 basis points of rate hikes since August 2021 that has been adding financial stress to households, among the most indebted in the world. With markets not anticipating a rise in rates for the rest of the year, the focus is now on whether Governor Rhee Chang-yong will maintain his hawkish bias or signal a policy pivot. «Above-target domestic inflation will keep the BOK guarded. September's print exceeded expectations at 3.7%, driven mainly by oil and agricultural prices.

By Ankur Banerjee

BEIJING (Reuters) -China's new home prices fell for the third straight month in September, official data showed on Thursday, dashing hopes of a turnaround in demand during a traditionally peak month for home buying despite efforts to revive the crisis-hit property sector.

Treasurer Jim Chalmers has reinstated the competition watchdog’s mandate to monitor Qantas and Virgin Australia, as a Coalition motion to extend a probe into aviation was blocked by the Greens and independent senator David Pocock.

By Tetsushi Kajimoto

By Clark Mindock

Investing.com-- Gold prices rose sharply on Wednesday, nearing a one-month high as a potential escalation in the Israel-Hamas war drove up safe haven demand, while copper prices also rose tracking a positive reading on China’s economy.

interest rate decision next week, according to the MNP Consumer Debt Index.The insolvency firm’s quarterly survey tracks how Canadians are feeling about their ability to pay down debt, and the latest instalment released Wednesday shows a mixed picture of worry about handling future rate hikes and some improvements in the ability to cope with higher interest costs.Some 28 per cent of respondents indicated their ability to deal with an additional percentage point of rate hikes had worsened from the previous quarter. Phrased another way, some 37 per cent of respondents said they couldn’t absorb another $130 in interest payments on their debt, compared with 32 per cent in the previous survey.MNP’s Consumer Debt Index is based on Ipsos polling of more than 2,000 Canadians between Sept.

Federal Reserve Chair Jerome Powell is set to deliver what could be a key policy address Thursday, in which he will be tasked with convincing markets the central bank is committed to keep hammering away at inflation, but perhaps now needs a little less force.

NEW DELHI : Indians will spend $410 billion on travel and accommodation by the end of the decade aided by a growing economy, swelling incomes and youthful population, a new study said. This is about three times the amount ($150 billion) spent in 2019, the last pre-covid year of normal consumption. Indians are keen on non-traditional accommodation such as hostels, campsites, vacation rentals and chalets, the study by Booking.com with knowledge partner McKinsey & Company said.

This year’s World Congress of Neurology is being hosted in Canada from October 15-19, and its tagline, “Brain Health is our Greatest Wealth,” recognizes that brain health — which includes improved brain performance, enhanced creativity, better treatments for neurological disorders and greater psychological resilience — is the pathway to greater prosperity.

Asia-Pacific should accelerate this year to 4.5%. But IMF estimate for growth next year has been lowered to just over 4%, based on signs of slowing growth and investment in Q3.

Federal Reserve Governor Christopher Waller on Wednesday indicated the central bank can afford to hold off on interest rate increases while it watches progress unfold in its efforts to bring down inflation.

₹1.78 crore, down from ₹18.14 crore in the same quarter a year ago. The retail company reported revenue from operations at ₹1,025.15 crore for Q2 FY24, up from ₹1,008.24 crore in the same quarter a year ago. Its expenses rose to ₹1,028.25 crore, as compared to ₹985.17 crore a year ago.

FOX Business correspondent Madison Alworth shares why for many first-time homebuyers, the American dream is delayed as a result of high mortgage rates and home prices on 'Varney and Co.'

The Federal Reserve should extend its pause on interest-rate increases because of growing evidence that higher borrowing costs will slow the economy despite recent signs of hiring and spending strength, a top central bank official said. Philadelphia Fed President Patrick Harker in a Tuesday interview said he thinks the central bank can likely wait until early next year to decide whether rapid rate increases over the past 20 months have done enough to keep inflation heading lower. “This is a time where we just sit for a little bit.