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Market Review

US: U.S. stocks slumped on Wednesday after the U.S. Federal Reserve held key interest rates unchanged as widely expected, and revised economic projections higher with warnings that the battle against inflation was far from over.

Asia: Asian stocks followed Wall Street's lead on Thursday, dipping across the board as investors interpreted the U.S. Federal Reserve's latest policy statements as signalling higherfor-longer interest rates.

India: Global sell-off engulfed domestic markets on Wednesday, the nervousness ahead of the US Federal Reserve further dampened the sentiment. Market is expected to open on a negative note and likely to remain cautious during the day. 

Global Economy: American workplaces have taken a substantial hit from strikes this year. The auto workers’ strike is the latest in a series of labor-management conflicts having significant growth impacts if they persist. The UAW has taken a somewhat novel approach to this walkout, targeting just three factories and involving less than one-tenth of the workers at the Big Three automakers’ membership. However, if things heat up and it turns into an all-out strike, bringing into play the 146,000 union members at Ford, GM and Stellantis, that could change things. Britain's high inflation rate unexpectedly slowed, raising the prospect of the Bank of England pausing its long run of interest rates hikes as soon as Thursday. The pound fell and investors saw a nearly 50-50 chance of rates staying on hold at the BoE's September meeting after the consumer price index sank to an 18-month low of 6.7% in August.

Commodities: Gold prices retreated on Thursday as the U.S. dollar and bond yields powered higher after the Federal Reserve signalled another rate hike this year and a tighter monetary policy through 2024 than previously expected. Oil prices fell in early Asian trade on Thursday after falling by the most in a month in the previous session on U.S. interest rate hike expectations, and ahead of a steer from other central banks on their rate outlooks

Currency: The dollar hit fresh peaks on Thursday, sitting around its highest against the yen since November after a hawkish pause by the U.S. Federal Reserve.

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