Business Maverick: Stocks Rally as Swap Traders Dial Back Fed Wagers: Markets Wrap

  • 📰 dailymaverick
  • ⏱ Reading Time:
  • 42 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 20%
  • Publisher: 84%

Singapore News News

Singapore Singapore Latest News,Singapore Singapore Headlines

The stock market snapped back at the end of a dizzying week as traders reduced their bets on a Federal Reserve hike while parsing a raft of Wall Street earnings and hoping for signs of capitulation that could set the stage for a more sustained recovery.

American equities halted a five-day slide, with swaps pricing in 80 basis points of Fed tightening in July — still an aggressive boost that leaves investors wondering about the odds of a recession — but down from a full point earlier this week. Banks led gains afterEconomic readings were all over the place, but it was a drop in US consumer long-term inflation expectations to a one-year low that effectively captured traders’ attention.

of a super-sized rate increase, and St. Louis’s James Bullard said he would defer judgment to the central bank’s meeting. He was quoted earlier this week as saying he favored sticking with a 75-basis-point boost.“While a recession is increasingly likely, bulls note that a lot of bad news is already being priced in, and if a recession is shallow, there is upside to markets over the next year,” said Mark Hackett, chief of investment research at Nationwide.

“The markets today reflect a slowdown or a mild recession already,” said Kara Murphy, chief investment officer at Kestra Holdings. “As soon as we have confirmation that the Fed is winning the war with inflation — that means we need to see multiple data points suggesting that prices are slowing — I think that will be a risk-on sign for the market.”

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 3. in SG
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Singapore Singapore Latest News, Singapore Singapore Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Business Maverick: Stocks, US futures pare drop as China tech gains: markets wrapUS Treasury two-year yields, sensitive to imminent Federal Reserve moves, climbed further while longer-maturity rates also went higher. The inversion between two-year and 10-year yields – a potential recession indicator – is the deepest since 2000.
Source: dailymaverick - 🏆 3. / 84 Read more »

MARKET WRAP: JSE and rand weaken further as bets on Fed aggression riseInvestors are increasingly considering the prospect of a 100 basis-point rate hike by the Federal Reserve in two weeks
Source: BDliveSA - 🏆 12. / 63 Read more »

Business Maverick: Gold Drops as Nervous Traders Again Seek Haven in the DollarGold dropped back toward an 11-month low as investors again turned to the dollar as a haven asset amid expectations for more aggressive US monetary tightening.
Source: dailymaverick - 🏆 3. / 84 Read more »

BUSINESS MAVERICK: Cartoon Thursday with RicoDefend Truth You saved my life out of all debt I do think I could ever tell you how much you mean to me l will keep telling people about your good work in my life Melisa_Daniel1
Source: dailymaverick - 🏆 3. / 84 Read more »

MARKET WRAP: US inflation puts JSE in a spinRand recovers a little ground against the dollar while the euro falls below dollar parity for the first time in almost 20 years
Source: BDliveSA - 🏆 12. / 63 Read more »