Investment Learning

  • July 24, 2024

Fed Likely To Maintain Rates In August, Possible Cuts In September

According to BlockBeats, the CME 'FedWatch' tool indicates a 93.3% probability that the Federal Reserve will keep interest rates unchanged in August. There is a 6.7% chance of a 25 basis point rate cut during the same period.Looking ahead to September, the likelihood of the Federal Reserve maintaining the current interest rates drops to 0%. The probability of a cumulative 25 basis point rate cut stands at 89.6%, while there is a 10.2% chance of a cumulative 50 basis point cut. The probability of a cumulative 75 basis point rate cut is 0.3%.

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  • July 24, 2024

US Stock Market Opens Lower With Major Indices Declining

According to Odaily, the US stock market opened with significant declines. The Dow Jones Industrial Average fell by 0.53%, the S&P 500 Index dropped by 0.95%, and the Nasdaq Composite Index decreased by 1.48%. Tesla (TSLA.O) experienced a sharp decline of 8.63% following its Q2 net profit, which fell short of expectations. Alphabet (GOOG.O) also saw a decrease of 4.69%, despite exceeding Q2 performance expectations, as the company anticipates increased capital expenditures within the year.

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  • July 23, 2024

Thailand To Open Digital Wallet Registration In August

According to BlockBeats, Thailand will open registration for digital wallets from August 1 to September 15. The initiative is expected to attract 45 million participants, as stated by the Thai Deputy Finance Minister. The government has allocated 450 billion baht for this program. Digital cash spending is set to commence in the fourth quarter of this year.

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  • July 23, 2024

Fed May Start Rate Cuts In September, Limited Dollar Depreciation Expected

According to Odaily, analysts at Société Générale suggest that the Federal Reserve might begin cutting interest rates in September, but any depreciation of the dollar is expected to be limited. The bank's forex strategists noted that the dollar's rebound in 2021-2022 has provided ample room for downward correction. However, unless the U.S. economy slows down significantly more than anticipated, U.S. interest rates are 'very unlikely' to approach pre-pandemic levels of 2020.They highlighted that the most significant fluctuations are expected in the dollar-yen exchange rate, which could drop from the current 156.197 to 140 by early 2025. The yen has been the currency most adversely affected by rising U.S. interest rates and yields. Additionally, they mentioned that at some point in 2024 or 2025, the euro-dollar exchange rate might increase from the current 1.0850 to 1.15.

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  • July 23, 2024

Fed to cut rates twice this year, with first move in September, economists say: Reuters poll

The Federal Reserve will cut interest rates just twice this year, in September and December, as resilient U.S. consumer demand warrants a cautious approach despite easing inflation, according to a growing majority of economists in a Reuters poll. Declining price pressures over the past few months and recent signs of labor market weakness gave several members of the policy-setting Federal Open Market Committee (FOMC) "greater confidence" inflation will return to the U.S. central bank's 2% goal without a significant economic slowdown. While all 100 economists in the July 17-23 Reuters poll said the Fed will keep rates unchanged on July 31, more than 80% - 82 of 100 - forecast the first 25-basis-point cut would come in September, pushing the federal funds rate to the 5.00%-5.25% range.

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