In a recent speech at the Economic Club of New York, Federal Reserve Governor Christopher Waller emphasized that there is “no rush” to cut rates despite the latest U.S. inflation data. Waller stated that maintaining current rate levels is crucial to keep inflation in check and ensure sustainable economic growth.
Waller highlighted the importance of carefully balancing rate adjustments to avoid potential negative impacts on employment and overall economic stability. He emphasized the need for caution in easing monetary policy too quickly or too late, as it could lead to adverse consequences.
The Fed’s stance on interest rates comes amidst a backdrop of global economic developments. European stocks opened higher on Thursday, with major bourses in the green. Additionally, the U.K. economy officially entered a recession in the second half of last year, as confirmed by recent data from the Office for National Statistics.
In Asia, the Hang Seng tech index saw a significant jump, led by Bilibili’s strong performance. Meanwhile, Japan is reportedly considering intervention in the yen to support its currency amid market speculation.
Barclays analysts suggest a shift away from cash towards risk assets, anticipating potential market leadership changes that could broaden the equity market rally. Additionally, GE Vernova and Solventum are set to join the S&P 500 in April, marking significant changes in the index composition.
In after-hours trading, RH and Verint Systems were among the top movers, with RH expecting demand trends to accelerate despite challenging business conditions. MillerKnoll and Sprinklr also experienced notable movements following their quarterly earnings reports.
Overall, the global financial landscape remains dynamic, with various factors influencing market movements and policy decisions. Stay tuned for further updates on the evolving economic environment.
