Wall Street had hoped that the US Federal Reserve would soon ease up on its aggressive campaign to raise interest rates. However, Jerome Powell, the chair of the US Federal Reserve, made it clear in his speech to the Jackson Hole conference of international monetary policymakers that the Fed’s fight against inflation is far from over.
According to economists, the poor global cues may temporarily halt the advance in the Indian stock market.
Last week, Nifty began to correct after six weeks of gains. As a result of Jerome Powell’s hawkish remarks, the US market may continue to correct this week. The key economic indicators for this week will be the direction of the world markets and domestic indicators like India’s GDP and auto sales. As well as these factors, the market will watch crude oil prices, the dollar index, and US bond yields, according to Santosh Meena, Head of Research at Swastika Investmart Ltd.
The forthcoming trading week is anticipated to be jam-packed with events, including the release of the S&P Global Manufacturing PMI and the GDP growth rate for India, as well as the beginning of a new F&O series for September and August auto sales.
1- What did Powell said ?
Ans- Powell said that the Fed needs to do more to contain inflation.
2- Does the upcoming week will be jammed pack with the the India’s GDP growth rate?
And – Yes
3- How did the Indian market has largely discounted?
Ans – This RBI and Fed rate increase has been largely dismissed by the Indian market.