Sensex, Nifty end mildly higher amid fag-end buying ahead of Fed outcome

Closing Bell on December 13, 2023: The broader market space remained upbeat with the BSE MidCap and SmallCap indices ending 1.06 per cent and 0.73 per cent higher, respectively.

SI Reporter New Delhi

Photo: Bloomberg

8:34 AM

Fund Flow :: FIIs/FPIs pump in equities worth Rs 76.86 crore on Dec 12

8:32 AM

Fund Flow :: DIIs buy equities worth Rs 1,923.32 crore on Dec 12

8:30 AM

Gift Nifty cues :: Index quotes 52 points higher at 21,075

8:26 AM

Bond market’s big rate-cut wager faces a reckoning from the Fed

>> The bond market’s bold bet on US interest-rate cuts is set for its biggest test yet.

>> After loading up on wagers that the Federal Reserve will lower rates by more than 100 basis points in 2024, investors are waiting on tenterhooks to hear Chair Jerome Powell speak Wednesday and see central-bank officials’ so-called dot-plot outlining the path of US monetary policy.

>> Chairman Powell may push back on rate cuts at press gathering

Source: Bloomberg

8:22 AM

Policy Preview :: What the Fed is expected to do Wednesday

>> What is likely to occur when the Fed session wraps up Wednesday is a policy turn away from aggressive rate hikes and toward plans for what happens next.

>> The Fed will update its projections on economic growth, inflation and unemployment.

>> Chair Jerome Powell also will deliver his usual post-meeting news conference.

>> Traders in the fed funds futures space are pricing rate decreases to start in May 2024 and continue through the year.

>> Strategists and economists on Wall Street see a more cautious approach.

Source: CNBC

8:17 AM

US crude oil falls nearly 4% as traders worry about inflation affecting demand

>> US crude oil on Tuesday dropped nearly 4% as inflation data stoked anxiety among traders that the Federal Reserve may not be ready to ease up on interest rates.

>> The West Texas Intermediate contract for January lost $2.71, or 3.80%, to settle at $68.61 a barrel.

>> The Brent contract for February shed $2.79, or 3.67%, to settle at $73.24 a barrel.

>> Traders are worried that the Fed does not have inflation under control and will have to keep the foot on the accelerator when it comes to interest rates.

>> Fed Chair Jerome Powell said earlier this month that it is "premature" to discuss slashing interest rates. Powell indicated that the central bank is prepared to raise rates if necessary.

Source: CNBC

8:13 AM

US inflation slowed to a 3.1% annual rate in November

>> Prices across a broad range of goods and services edged higher in November but were mostly in line with expectations, further easing pressure on the Federal Reserve.

>> The consumer price index, a closely watched inflation gauge, increased 0.1% in November, and was up 3.1% from a year ago.

>> Economists surveyed by Dow Jones had been looking for no gain and a yearly rate of 3.1%.

>> While the monthly rate indicated a pickup from the flat CPI reading in October, the annual rate showed another decline after hitting 3.2% a month earlier.

Source: Agencies

8:09 AM

China vows to boost domestic demand in bid for 2024 recovery

>> China's leaders vowed to boost domestic demand, prioritise the development of strategic sectors, and tackle the country's real estate crisis, following a key meeting that laid out economic priorities for the new year.

>> Under a new slogan pledging to achieve stability through economic progress, Chinese leaders said it's necessary to overcome some difficulties and challenges, which include insufficient demand, overcapacity in some industries, weak social expectations, and many hidden risks which still exist.

>> China’s leaders stressed that a focus on high quality development is key, prescribing a nine-point plan that included technological innovation in the industrial system, boosting domestic consumption, expanding high-level foreign investment and revitalizing agriculture to boost food security.

Source: Agencies

8:06 AM

South Korea’s November jobless rate spikes to five-month high

>> Unemployment rate in South Korea spiked to its highest level since July, according to data released by the government.

>> The jobless rate in South Korea rose to 2.8% on a seasonally adjusted basis last month, higher than the 2.5% in October.

>> Data also showed the country’s economy added fewer jobs in November at around 277,000, compared with prior month’s 346,000 additions.

>> South Korea’s unemployment rate had reached a record low of 2.4% in August.

Source: Agencies

8:03 AM

Business sentiment in Japan improves more than expected in fourth quarter

>> Business sentiment in Japan improved more than expected among large manufacturers, according to the Bank of Japan’s quarterly Tankan survey.

>> The Tankan reading for big Japanese manufacturers climbed to +12 from +10, beating the +10 estimated by economists in a Reuters poll.

>> Meanwhile, reading for big non-manufacturers’ rose to +30 from +27, improving for the seventh quarter in a row and also higher than the +27 expected by the Reuters poll.

Source: CNBC

7:58 AM

Argentina devalues currency by more than half

>> Argentina has sharply devalued its currency and cut subsidies for energy and transport as part of economic shock measures aimed at fixing the country’s worst crisis in decades.

>> The peso was weakened by about 56% to 800 pesos to the dollar, from 366.5 before the move took effect.

>> The Argentinian blue dollar - referring to cash dollars bought and sold informally - traded at 1050 to the dollar.

>> Govt said the plan was needed to cut the fiscal deficit and bring down triple-digit inflation.

Source: CNBC

7:53 AM