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MARKET COMMENTARY

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Fed Rate Cut – There’s No Turning Back

Aug 27, 2024

10:32 am

• Jerome Powell gives am emphatic message that the Fed will cut rates • The market expects measured rate Fed cuts, at 25bps per meeting, over the next six months • The pace of rate cuts will be data dependent and could be more aggressive if the labour market shows further weakness • The dollar’s…

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Back to Normal?

Aug 19, 2024

10:06 am

• Equities have recovered their poise, helped by bond yield that have stayed low • US economic data may have surprised to the downside, but growth has momentum • We would ride the equity rally from here with tech, interest rate sensitives and Japanese equities • Gold’s all-time high is a good reminder of the…

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Investment Strategy

Aug 16, 2024

8:16 am

• Global markets turn volatile amid concerns around Yen carry trade, earnings and Fed actions. • Indian macroeconomic strength also starting to moderate. • We turn underweight Indian equities amid elevated valuations, moderating macro strength, downward earnings revision and unfavourable technical momentum. • We add to gold as its fundamentals are intact. Exercicing Caution It…

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Half-Way Back

Aug 13, 2024

9:31 am

• Markets recover 50% of their dips -equity indices, and bond yield lows. • Economists debate if weather-related issues distorted the labour market data. • A substantial part of the Yen carry trade is unwound • Japanese equities have still to recover as much as global equities and have a following wind of better economic…

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