US inflation surged in January, impacting markets. President Trump’s tariff plans and peace efforts in Ukraine influenced global markets. India’s retail inflation cooled, while industrial growth slowed. A new Income Tax Bill is expected, and RBI lifted a ban on Kotak Mahindra Bank.
Results for: Economic Indicators
Global markets showed stability after initial drops, with investors closely watching trade war concerns. Corporate earnings varied, with some tech companies exceeding expectations while others faced challenges. Major economic indicators will be released this week.
This week’s market outlook is shaped by a mix of Indian and global factors. Key economic indicators and earnings releases are anticipated in India, while the US releases vital economic data, including the Federal Reserve’s interest rate decision. China’s markets will be closed for the Chinese New Year. Primary market activity includes two new issues and eight listings.
US inflation rose to 2.9% in December 2024, the highest since July, driven by increases in gas, eggs, and used car prices. The core CPI, excluding food and energy, fell, indicating that these sectors are mainly responsible for the overall inflation rise. Economists will analyze these trends for their impact on consumer spending and economic policy.
U.S. stocks traded higher on Tuesday, with the Nasdaq Composite gaining around 150 points. Positive economic indicators and strong performances by some companies contributed to the market’s upward trend. However, some sectors underperformed, and commodity prices showed mixed results.
U.S. stocks fell sharply on Friday, driven by a stronger-than-expected jobs report that heightened concerns about inflation and potential interest rate hikes. The CNN Money Fear & Greed Index remained in the “Fear” zone, reflecting the market’s negative sentiment. Major indices like the Dow, S&P 500, and Nasdaq all experienced significant losses, though the energy sector bucked the trend. Several companies reported earnings, with mixed results.
US markets closed Thursday in honor of former President Jimmy Carter. Futures pointed to a cautious market before the closure, reflecting concerns about inflation, a strong labor market, and the Fed’s hawkish stance. Asian and European markets showed mixed responses. Oil prices surged due to supply concerns, while the US dollar strengthened. The upcoming jobs report and earnings season will be crucial.
Economists offer varying predictions for Friday’s December jobs report, with estimates ranging from 154,000 to 180,000 new jobs. The report, including unemployment and wage data, will significantly influence market reactions and Federal Reserve policy. A weaker report could ease monetary policy, while strong job growth might delay such action. Analysts anticipate a stable unemployment rate and moderate wage growth.
US stocks experienced a slight downturn on Wednesday, with the Dow Jones, NASDAQ, and S&P 500 all trading lower. Financial shares rose while healthcare shares fell. Several companies saw significant share price swings due to earnings reports and clinical trial results. Commodities markets showed generally positive performance, while European and Asian markets mostly declined. US job growth slowed in December, but jobless claims fell.
Global markets saw mixed results on January 6th. US tech stocks rallied, boosting the S&P 500 and Nasdaq, while the Dow fell slightly. Economic data was mixed, with some sectors showing weakness. Asian markets were varied, while European markets were mostly positive. Oil prices rose slightly, while natural gas fell. The US dollar weakened.