Two or three rate cuts from the Fed? [Video]
|Mood was down in Asia today as the strongest earthquake in Taiwan in 25 years led to halted operations in TSM and United Microelectronics.
Elsewhere, Tesla led the EV makers south with disappointing Q1 deliveries while major stock and bond markets in Europe and the US were painted in the red yesterday as rising oil and commodity prices fueled inflation expectations and further strength in the US economic data boosted worries that the Federal Reserve (Fed) may not cut the interest rates as much as wished this year. The market now prices less than three rate cuts from the Fed this year, below the three rate cuts plotted by the Fed members at last month’s FOMC meeting. Jobs data should split hairs between those anticipating three rate cuts and those banking on just two.
The FTSE 100 benefited from rising oil & commodity prices and softer sterling to extend gains past the 8000p psychological mark.
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