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Equally at sea: The US Federal Reserve has no more clarity than we do
Livemint
ยท
1m ago
Medial
The US Federal Reserve's recent decision to hold interest rates reflects uncertainty, with Chair Jerome Powell admitting unpredictability due to trade policies and geopolitical issues under Trump. As global economic instability persists, the Fed acknowledges its inability to forecast future developments, opting to wait and observe changes. This indecision highlights how even the most influential financial institutions are grappling with the complexities of current economic conditions, necessitating cautious and adaptive strategies moving forward.
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Fed seen nearly as likely to cut rates by 50 bps as 25 bps
Livemint
ยท
10m ago
Medial
Financial markets are indicating a higher chance of the Federal Reserve delivering a larger interest-rate cut at its policy meeting next week rather than a more standard reduction. While a quarter-point cut is still considered the slightly more probable outcome, futures tied to the Fed's policy rate now suggest a 47% chance of a half-percentage point reduction. Traders are betting that the US central bank may make a more aggressive move to counteract the weakening labor market.
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Bitcoin slips below $118,300 as market awaits Fed decision; Ethereum outperforms with ETF boost
Economic Times
ยท
9d ago
Medial
The cryptocurrency market is facing a downturn, with Bitcoin falling below $118,300 as investors remain cautious ahead of the US Federal Reserve's policy decision and a key regulatory report from the White House. While Bitcoin remains in a tight trading range, Ethereum is showing relative strength due to institutional inflows and bullish technical signals. Investors are watching for regulatory clarity and a formal Bitcoin Reserve Framework which could impact future price movements and market stability.
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Rupee ends at fresh record low but fares better than regional peers
VCCircle
ยท
9m ago
Medial
The Indian rupee hit a new all-time low against the US dollar, but performed better than other Asian currencies due to dollar sales from state-run banks. The rupee closed at 84.08 against the dollar, slightly down from the previous session. The US dollar has been strengthened by rising bets on a Donald Trump victory in the US presidential election and expectations of interest rate cuts by the Federal Reserve. While other Asian currencies saw declines, the rupee is not expected to experience significant volatility as the Reserve Bank of India is likely to limit large moves.
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Fed Officials Keep Options Open for December Rate Decision
Livemint
ยท
8m ago
Medial
Three officials from the Federal Reserve have indicated that they expect interest rates in the US to continue to be cut in the next year but have stopped short of committing to a cut later this month. The officials cited strong economic conditions and the need for more data before making a decision on a rate cut. The Federal Reserve has already reduced rates by three-quarters of a percentage point since September. The next meeting of the Federal Open Market Committee will take place on 17-18 December.
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No One Actually Knows How AI Will Affect Jobs
Wired
ยท
1y ago
Medial
Generative AI tools have the potential to transform the labor market, causing both increased productivity and job satisfaction, as well as concerns about mass unemployment and social upheaval. Mary Daly, CEO of the Federal Reserve Bank of San Francisco, believes that generative AI can be used to augment workers rather than replacing them entirely. While technology has historically not reduced net employment, the outcome depends on how we engage with and deploy AI. Daly emphasizes the need to educate and encourage companies to use AI to amplify workers' abilities and create new opportunities. The dystopian narrative surrounding AI replacing human jobs can be unhelpful and it's crucial to deploy AI smartly to achieve positive outcomes in the future.
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Bumper earnings from Nvidia could drive US stock market rally: JPMorgan traders
Livemint
ยท
1y ago
Medial
Nvidia's strong earnings report has reignited Wall Street's enthusiasm for US stocks. The positive results are expected to overshadow concerns about when the Federal Reserve will cut interest rates. The tech-heavy Nasdaq 100 Stock Index climbed over 3% while the S&P 500 Index rose more than 2%. JPMorgan's trading desk predicts that the bullish shift towards US equities will continue, and the decoupling of stocks and yields will persist. The positive sentiment surrounding Nvidia's results is seen as a catalyst for the stock market and may help drive further gains.
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Business in the Week Ahead: May 6-10
Money Control
ยท
1y ago
Medial
The US Federal Reserve chose to maintain interest rates on May 1 due to slow progress in achieving their inflation target of 2%. This decision has raised uncertainty about when a rate cut may occur. Meanwhile, the central banks of Australia and the United Kingdom are also set to determine interest rates in the coming week. The Reserve Bank of Australia and the Bank of England's decisions may align with the approach taken by the US Federal Reserve.
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Elon Musk Makes โOverstaffedโ Fed Target in Quest for Efficiency
Livemint
ยท
7m ago
Medial
Elon Musk, who will be leading the Department of Government Efficiency under President-elect Donald Trump, has criticized the Federal Reserve for being "absurdly overstaffed." Musk's comments come after Trump also targeted the central bank, arguing for greater influence over monetary policy and interest rates. The Federal Reserve employed around 24,000 people last year, significantly fewer than comparable institutions. Musk's new agency, the Department of Government Efficiency, aims to deliver a more efficient government by implementing spending cuts of $2 trillion. Musk has become one of Trump's closest advisers as he prepares for his return to the White House.
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Bitcoin sinks after Trumpโs executive order disappoints market
Economic Times
ยท
5m ago
Medial
US President Donald Trump signed an executive order to create a strategic Bitcoin reserve and a stockpile of other digital assets. The reserve will use Bitcoin already owned by the federal government through forfeiture in criminal or civil proceedings, without taxpayer funds. The order lets the Treasury and Commerce Departments develop strategies for more Bitcoin, with no extra taxpayer costs. Bitcoin fell 4%, with other tokens like XRP and Ether also declining.
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Sam Altman concerned by young people's over-reliance on ChatGPT - The Economic Times
Economic Times
ยท
13d ago
Medial
OpenAI CEO Sam Altman expressed concerns about young people's over-reliance on AI tools like ChatGPT, which can lead to passive decision-making and diminished judgment. Speaking at a Federal Reserve forum, he emphasized the need for societal guardrails to mitigate these risks. Altman highlighted that while AI like ChatGPT offers benefits, excessive reliance can form problematic emotional attachments and endanger critical thinking. He also noted that short video content might harm children's mental health more than AI.
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