* World stocks climb to highest since August. * Powell bolsters bets for 50 bps U.S. rate hike this month. * Bond markets rally on hopes of lower terminal rates. * Dollar sags to lowest since August. * China eases some COVID quarantine rules. * Wall Street expected to see slow start after Wednesday's surge. By Marc Jones.
Brazil's economic growth slowed more than expected in the third quarter as higher interest rates affected household spending, underscoring challenges facing President-elect Luiz Inacio Lula da Silva next year. Gross domestic product rose 0.4% in the three months to September, government statistics agency IBGE said on Thursday, below the 0.7% growth forecast by economists polled by Reuters.
The dollar weakened to three month-lows against the yen and the pound on Thursday, after comments by Fed Chair Jerome Powell that U.S. rate hikes could be scaled back "as soon as December", but the euro failed to climb past a major resistance level.
Brazil's economic growth slowed more than expected in the third quarter as higher interest rates affected household spending, underscoring challenges facing President-elect Luiz Inacio Lula da Silva next year. Gross domestic product rose 0.4% in the three months to September, government statistics agency IBGE said on Thursday, below the 0.7% growth forecast by economists polled by Reuters.
Brazil's economy rose 0.4% in the three months to September, government statistics agency IBGE said on Thursday, below the 0.7% growth expected by economists polled by Reuters. Latin America's largest economy expanded by 3.6% from the third quarter of 2021, while economists projected a 3.7% increase.
Major Wall Street indices soared on Wednesday after?Federal Reserve?Chair?Jerome Powell?said the central bank may slow the pace of rate hikes as soon as December while also noting that?bringing down inflation?remained a long battle.
Royal Bank of Canada (RY): * ROYAL BANK OF CANADA TO APPOINT JACYNTHE C?T? AS CHAIR OF THE BOARD. * Royal Bank of Canada (RY) - KATHLEEN TAYLOR TO RETIRE AS CHAIR AT RBC'S 2023 MEETING OF SHAREHOLDERS Source text for Eikon: Further company coverage:
Botswana's central bank kept its monetary policy rate unchanged at 2.65% on Thursday, saying it saw inflation gradually falling back within its target range by 2024. Botswana's consumer inflation dipped to 13.1% year on year in October from 13.8% in September, but is still far above the central bank's 3%-6% preferred band.
Canada's TD Bank posted a surge in fourth-quarter profit on Thursday as gains from higher interest rates boosted its personal and commercial business and helped offset weakness in underwriting and capital markets. Net income, excluding one-off items, rose to C$4.07 billion, or C$2.18 per share, for the three months ended Oct. 31, from C$3.87 billion, or C$2.09 per share, a year earlier.
Chile's IMACEC economic activity index, a close proxy of gross domestic product, dropped 1.2% in October from the same month last year, the central bank said on Thursday. That was in line with market expectations, according to a Reuters poll of economists. When compared with the previous month, the IMACEC index rose 0.5%.
India's central bank has given conditional approval to U.S. private equity firms Carlyle
Group Inc (CG) and Advent International for their purchase of a combined 20% stake in Yes Bank, the private-sector lender said on Thursday.
A look at the day ahead in U.S. and global markets from Mike Dolan. Intended or not, investors clearly read Wednesday's keynote speech by the Federal Reserve chair as a green light for a yearend relief rally in beaten down assets.
A look at the day ahead in U.S. and global markets from Mike Dolan. Intended or not, investors clearly read Wednesday's keynote speech by the Federal Reserve chair as a green light for a yearend relief rally in beaten down assets.
* European PMI data suggests downturn may not be as bad. * China's private survey shows continued PMI contraction. * Factory activity shrinks in Japan, South Korea. * Surveys highlight darkening outlook for Asia next year. By Jonathan Cable and Leika Kihara.
New Zealand?s economy could benefit from additional economic growth of $271 million, or 0.1%, by 2027 ? if the country were to introduce a domestic real-time payments scheme, according to a study by the Centre for Economic and Business Research ? commissioned by ACI Worldwide (ACIW), a global leader in mission-critical, real-time payments software, and Payments NZ, the payments industry association re...
The U.S. index futures point to a modestly lower opening on Thursday, as the market pauses for a breather after Wednesday's rally. With Wednesday's upside, the tech-heavy Nasdaq Composite settled at the highest level since Sept. 19 and the broader S&P 500 Index notched up a two-and-a-half month high.
Indian shares extended their rally for eighth straight session on Thursday, after U.S. Federal Reserve Chair Jerome Powell's remarks boosted bets of a slowdown in the pace of interest rate hikes. The S&P BSE Sensex rose 0.29% to close at 63,284.19. The NSE Nifty 50 index also gained 0.29% to settle at 18,812.50. Both benchmarks rose about 0.7% to fresh all-time highs during the session.
Greece's jobless rate eased to 11.6% in October from an upwardly revised 12% in September, data from statistics service ELSTAT showed on Thursday. The reading was the lowest recorded since March 2010 - at the start of Greece's decade-long economic crisis - following the revision of last month's figure.
* Focus on non-farm payrolls data due on Friday. * Traders see 91% chance of 50 bps rate hike in December. * Next resistance for gold at $1,788-$1,808 - analyst. By Arundhati Sarkar.
Private equity firms Carlyle Group Inc (CG) and Advent International have received conditional approvals from India's central bank to buy stakes in Yes Bank, the private-sector lender said on Thursday.
US stocks closed sharply higher on Wednesday after Fed Chair Jerome Powell said that the Fed could slow the pace of rate hikes as soon as the December FOMC meeting but that there is a long way to go in bringing inflation down. Futures traders now see a 75% chance that the US Federal Reserve will increase interest rates by 50 basis points at its December meeting.
Greece's jobless rate eased to 11.6% in October from an upwardly revised 12% in September, data from statistics service ELSTAT showed on Thursday. Seasonally adjusted data showed 542,941 people were officially unemployed, with those under the age of 24 the hardest hit.
* World stocks climb to highest since August. * Powell bolsters bets for 50 bps U.S. rate hike this month. * Bond markets rally on hopes of lower terminal rates. * Dollar sags to lowest since August. * China eases some COVID quarantine rules. * By Marc Jones.
* STOXX 600 up 0.9%, scales highs last seen in August. * Tech stocks lead rally. * Energy stocks snap two-day rally. By Susan Mathew and Devik Jain. Europe's STOXX 600 index closed above a three-month high on Thursday, as investors cheered U.S. Federal Reserve Chair Jerome Powell's hints of smaller interest rate hikes and China's decision to soften its tone on strict COVID-19 restrictions.
The dollar tumbled more than 1.5% to a three-month low against the yen on Thursday, after comments by Fed Chair Jerome Powell that U.S. rate hikes could be scaled back "as soon as December" though the euro failed to climb past a major resistance level.
The CNN Money Fear and Greed index showed a sharp improvement in overall market sentiment following comments from Federal Reserve Chair Jerome Powell. Powell suggested the central bank could begin easing back on its interest rate hikes starting as early as next month.
* Dollar tumbles as Powell says Fed to go slow. * S.African rand down after panel findings against president. * China's factory activity shrinks amid COVID curbs - Caixin PMI. * Polish manufacturing slump drags on -PMI. * Turkish factory activity contracts for 9th straight month - PMI. By Bansari Mayur Kamdar.
Euro zone yields dropped on Thursday, taking cues from moves in U.S. Treasuries, after Federal Reserve chair Jerome Powell signalled the central bank could slow its pace of policy tightening as soon as its December meeting.
European shares scaled over three-month highs on Thursday, cheered by U.S. Federal Reserve Chair Jerome Powell signalling smaller interest rate hikes ahead, and China softening its tone on strict COVID-19 rules. The pan-European STOXX 600 index rose 0.9% by 0810 GMT, after rising 6.8% in November, its best month since July.
* This content was produced in Russia where the law restricts coverage of Russian military operations in Ukraine. The rouble weakened to a near seven-week low against the yuan on Thursday and also edged lower versus the dollar, as markets reacted to Federal Reserve comments on interest rates and the Russian currency was squeezed by the end of a favourable tax payment period.
- Investors turned modestly bullish on currencies of South Korea, Malaysia and Thailand, supported by prospects of China's reopening, a Reuters poll found, while bearish positions on other Asian currencies hovered at multi-month lows amid a weaker greenback.
STOCKS: The benchmark BSE Sensex rose 313.55 points, or 0.5%, to 63,413.2, while the broader NSE index gained 84.05 points, or 0.45%, to 18,842.4, tracking a global rally after Federal Reserve Chair Jerome Powell hinted at slowing the pace of interest rate hikes "as soon as December."
Foreign investors were massive buyers of Japanese stocks in the week ended Nov. 25, as minutes from the Federal Reserve's latest meeting boosted hopes that the U.S. central bank would slow the pace of its interest rate hikes. Foreigners poured a net 987 billion yen into Japanese equities last week, marking their biggest weekly net buying since July 8, data from exchanges showed.
Japan's Nikkei index snapped a four-session losing streak on Thursday after Wall Street rose sharply overnight as U.S. Federal Reserve Chair Jerome Powell struck a more dovish tone than the market had expected.
China's $17 trillion economy is headed for one of its worst showings this year in almost half a century, but its central bank has limited options in its armoury for providing policy support as it would want to avoid stoking capital flight.
The following are the top stories on the New York Times business pages. - Jerome H. Powell, the Federal Reserve chair, signaled on Wednesday that the central bank could slow its rapid pace of interest rate increases at its December meeting while making clear that borrowing costs have farther to climb as policymakers remain concerned about a sustained bout of inflation.
Russia's manufacturing sector expanded at its fastest pace in almost six years in November thanks to an increase in output and new orders, a business survey showed on Thursday, rebounding from a dip towards contraction last month.
Bank of Japan board member Asahi Noguchi said on Thursday the central bank could "pre-emptively" withdraw monetary stimulus if trend inflation, which takes into account wage and services prices, overshoots expectations and stays above its 2% target.
Asian equities jumped on Thursday, while the dollar slid as investors poured into risky assets after Federal Reserve Chair Jerome Powell opened the door to a slowdown in the pace of monetary tightening. In an eagerly-awaited speech, Powell said the central bank could scale back the pace of its interest rate hikes "as soon as December," but cautioned the fight against inflation was far from over.
The world must cooperate to tackle the greatest challenges of climate change, terrorism, and pandemics, Prime Minister Narendra Modi said on Thursday as India began its year-long presidency of the Group of 20.
Japan's government bond futures rose to a one-week high on Thursday after Federal Reserve Chair Jerome Powell said the U.S. central bank could slow the pace of rate hikes as soon as this month. Benchmark 10-year JGB futures rose 0.36 yen to 149.08, hitting its highest since Nov. 25, with a trading volume of 14,120 lots.
- A rally in U.S. stocks and bonds powered ahead after a speech by Federal Reserve Chairman Jerome Powell on Wednesday, but some investors believe a looming recession could cap gains in both asset classes. Though asset prices have been battered by the Fed's rate rises this year, momentum has been on the side of the bulls in recent weeks.
* Focus on non-farm payrolls data due on Friday. * Traders see 91% chance of 50 bps rate hike in December. By Ashitha Shivaprasad. Gold prices hit a two-week high on Thursday, supported by a weaker dollar after U.S. Federal Reserve Chair Jerome Powell's speech sparked expectations of smaller interest rate hikes.
Indian shares rose to new highs on Thursday, tracking gains in global equities after Federal Reserve Chair Jerome Powell hinted at slowing the pace of interest rate hikes "as soon as December."
China's yuan hit a two-week high against the U.S. dollar on Thursday, which came under pressure after the Federal Reserve Chair Jerome Powell said U.S. rate hikes could be scaled back "as soon as December".
In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.
Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.
Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.
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