Asian stock markets were mostly higher Thursday after the Federal Reserve raised its benchmark lending rate again to cool inflation and said it wasn't sure what may come next.
A currency trader works near the screens showing the Korea Composite Stock Price Index , top center, and the foreign exchange rate between U.S. dollar and South Korean won, top right, at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea, Thursday, May 4, 2023. Markets: Asian stock markets were mixed Thursday after the Federal Reserve raised its benchmark lending rate again to cool inflation and said it isn't sure what may come next.
“The key takeaway, in my view, is that we are likely at or very near the end of the rate hike cycle,” Kristina Hooper of Invesco said in a report. The Kospi in Seoul lost less than 0.1% to 2,500.94 and Sydney's S&P-ASX 200 fell less than 0.1% to 7,193.10.Traders expect a U.S. recession this year as the Fed and other central banks in Europe and Asia try to extinguish inflation that was near multi-decade highs.
Traders worry industry turmoil might prompt banks to reduce lending, worsening downward pressure on economic activity. Powell mentioned a survey that is yet to be released and will show how much loan officers at banks say they are tightening lending standards. The banks are also exposed to low-interest loans that are now worth less on the open market due to the fact they were underwritten when interest rates were substantially lower.
Advanced Micro Devices fell 9.2% despite reporting stronger profit and revenue than expected. It gave a forecast for revenue in the current quarter that fell short of some analysts’ expectations.
Singapore Latest News, Singapore Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Federal Reserve's employee stock trading rules not strict enough: Agency watchdogThe federalreserve does not have enough restrictions on how employees trade in the stock market despite the agency having some of the most rigid staff rules, according to a government watchdog.
Read more »
Gold Price Forecast: XAU/USD bulls flex muscles as Federal Reserve announcements loomGold price (XAU/USD) seesaws at the highest levels in two weeks, making rounds to $2,015-20 during early Wednesday, after rising the most in a month t
Read more »
Here's what to expect from today's Federal Reserve announcementWhere the intrigue comes in is how the central bank proceeds from here.
Read more »
Federal Reserve confronts 'contradictory' economy today as it considers next interest rate hikeAs the Federal Reserve gets ready to make its latest about whether it will raise its key federal funds rate for the 10th consecutive time, finance commentators continue to disagree about how it should respond to economic conditions.
Read more »
Federal Reserve expected to raise interest rates 0.25%, investors debate next steps'When the Fed increases interest rates, it exposes any fissures in the financial markets or the economy....the recent tightening...contributed to the recent stress in the banking system,' said one economist. Fed is expected to raise interest rates 0.25%:
Read more »