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Market Review

US: The S&P 500 ended nearly flat on Friday as gains in defensive sectors and energy offset weakness in megacap growth stocks, while investors looked toward next week's speech by Federal Reserve Chair Jerome Powell. The tech-heavy Nasdaq posted the biggest weekly decline of the three major indices.

Asia: Asian markets stumbled on Monday after China delivered a smaller cut to lending rates than markets had counted on, continuing Beijing's run of disappointing stimulus steps. MSCI's broadest index of Asia-Pacific shares outside Japan slipped 0.3% to a fresh low for the year, adding to a 3.9% dive last week.

India: The BSE Sensex dropped 202 points to close the previous session at 64,948 points, while the Nifty50 closed 55 points lower at 19,310 points, trading near its 200-day moving average of 19,594 points and trying to sustain the ongoing momentum. Market is expected to open on flattish note and is likely to remain range bound during the day.

Global Economy: Bank credit at U.S. commercial banks shrank in the latest week as commercial banks pulled back on lending to businesses. Overall bank credit fell to $17.23 trillion in the week ending Aug. 9, down from $17.25 trillion a week earlier and $17.32 trillion a year earlier, its second straight year-over-year drop. The People’s Bank of China cut its one-year loan prime rate by a smaller-than-expected margin on Monday, while five-year rates were left unchanged as the country grapples with slowing economic activity.

Commodities: Gold prices steadied above 5-month lows on Monday after declining in the previous five sessions, as investors saddled up for central bankers' gathering in Jackson Hole, Wyoming this week, for outlook on economy and interest rates. Oil prices were steady on Monday with Brent staying above $80 a barrel, as investors balanced tightening supply driven by OPEC+ cuts with nagging concerns about global demand growth amid high interest rates.

Currency: The dollar began on a firm footing on Monday, following five straight weeks of gains, as investors looked ahead to the Federal Reserve's Jackson Hole symposium for a guide on where rates might settle when the dust of this hiking cycle clears.

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