Market Resurgence: Asian Stocks Rally Amid Rate Cut Hopes
Share markets in Asia recovered due to potential lower borrowing costs suggesting Federal Reserve rate cuts. Although volatility persists with U.S. policy credibility under scrutiny, global equities saw gains. Market reactions indicate a significant emphasis on monetary policy shifts given dismal U.S. jobs data and political dynamics affecting the Federal Reserve.
If hopes for rate reductions in the U.S. buoyed Asia's share markets on Monday, questions linger about the longevity of such gains amid unresolved U.S. policy credibility concerns.
Despite immediate profit-taking in treasuries, futures suggest strong anticipation of interest rate cuts by the Federal Reserve, reflecting market sentiment against a backdrop of weak U.S. payroll data overshadowed by political interference fears.
The dollar faced pressure as equities enjoyed a positive week, with the focus firmly on how potential Federal Reserve appointments could sway future fiscal policies.
(With inputs from agencies.)
Advertisement
ALSO READ
Trump Administration Eyes Federal Reserve Overhaul
Federal Reserve Headquarters Makeover Triggers Political Showdown
Trump vs. Powell: A High-Stakes Battle Over Federal Reserve Policies
Treasury Secretary Bessent Calls for Federal Reserve Review Amid Trump's Criticisms
Raghuram Rajan: Repo Rate Cuts Not a 'Magic Bullet' for Investments
Google News