HE DOW JONES fell for 10 consecutive sessions till last Wednesday -- this was the first time this has happened since 1974 (when it fell 11 sessions in a row). It bounced back on Thursday and Friday, and, to be sure, the total decline thus far has been modest (just under 5%), but the clouds on the horizon are ominous.
The decline began on December 5, after it had hit an all-time high super-enthusiastic about Donald Trump's victory. However, as it started to become clear that most of his economically imbecilic policies would actually be implemented, the market has become increasingly worried about the likely impact on inflation and then some.
The last sharp leg down (last Wednesday) came when the Fed, at its last meeting of 2024, did cut rates as expected, but shocked everyone with a sea change in its inflation and interest rate forecasts for 2025 and beyond. It is now projecting only two rate cuts in 2025, rather than the four that had been on their own cards just a few months ago (in September). Fed Chair Jerome Powell said, "For additional cuts, we're going to be looking for further progress on inflation."
Denne historien er fra December 25, 2024-utgaven av Financial Express Hyderabad.
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Denne historien er fra December 25, 2024-utgaven av Financial Express Hyderabad.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
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Tech firms likely to challenge Trai's international SMS rules
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Trump tariff burden on India pegged at $14.6 bn
If the incoming Donald Trump administration goes ahead with the proposed tariff hikes, it would result in an additional duty burden of $14.6 billion on India's exports to the US, according to a report by Boston Consulting Group (BCG).
Food inflation down to 8.34% in Dec
More Relief In Sight
Trump tariff burden on India pegged at $14.6 bn
IF THE INCOMING Donald Trump administration goes ahead with the proposed tariff hikes, it would result in an additional duty burden of $14.6 billion on India's exports to the US, according to a report by Boston Consulting Group (BCG).
Direct tax collections rise 15.9% to ₹16.9 lakh cr
THE CENTRE'S DIRECT tax collections, after refunds, grew 15.9% year-on-year to ₹16.9 lakh crore till January 12 in the current financial year, data released by the finance ministry showed on Monday.
Finished steel imports at 6-year high
INDIA'S FINISHED STEEL imports hit at least a six-year high in the first nine months of FY25, according to provisional government data.
Import duty tweaks to boost local manufacturing sought
AS IMPORT TAXES cease to be a major revenue source for the government, the Budget for FY26 should be used to strategically adjust the rates to boost domestic manufacturing and bring average tariffs down, trade policy think tank GTRI said on Monday.
Indian, Chinese refiners seek new crude sources
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Hopeful about higher agri growth in FY25: Principal secy to PM
THE AGRICULTURE AND allied sector is poised for stronger growth in FY25, driven by favourable monsoon conditions, according to P K Mishra, principal secretary to the Prime Minister.
Rupee depreciation over long term good for India: Panagariya
REFERRING TO THE rise of India's fortunes after the rupee was devalued in 1991, Sixteenth Finance Commission chairman Arvind Panagariya on Monday said the current policy of allowing the rupee to depreciate in the long run while managing it in the short run is the right one.
