From Live Mint: 2024-04-29 05:52:05

1. US Fed policy meeting scheduled for this week to discuss rate cuts, with focus on recent macro data on growth and inflation. FOMC decision on Wednesday, May 1, followed by Powell’s press conference. Inflation remains above expectations, GDP growth slows, and uncertainty surrounds rate cut possibilities.

2. Rising consumer price index (CPI) in the US, above Street expectations, along with sluggish GDP growth, presents challenges for the Federal Reserve. Recent data shows inflation remains sticky. Uncertainty lingers on the rate cut front amidst geopolitical tensions and volatile commodity prices.

3. With hopes of rate cuts diminishing, experts predict potential delays as inflation persists above target levels. Rising oil prices and geopolitical risks could further complicate the situation. The global monetary policy easing cycle may face delays, affecting growth and inflation dynamics in the US.

4. Indian stock market impacts of the US Fed’s rate cut hopes fading include concerns over higher interest rates affecting consumer spending, business investment, and the housing market. Despite challenges, the domestic market saw strong gains last year due to the robust economy and investor support, with a positive outlook for the future.

5. Tips for investors in an elevated interest rate environment include a strategic approach focusing on long-term value creation. Elevated rates present challenges and opportunities for new and existing investors, emphasizing the importance of building a diversified portfolio and staying invested in quality Indian equities for the long haul.



Read more at Live Mint: US Fed meet ahead: What do dimming rate cut hopes mean for Indian stock market?