Central banks in India, Thailand, and New Zealand lower their interest rates in response to the Federal Reserve rate cut.

Daisy Harvey

2019-09-11 09:31:00 Wed ET

Central banks in India, Thailand, and New Zealand lower their interest rates in a defensive response to the Federal Reserve recent rate cut. The central banks try to institute interest rate cuts to fend off any economic harm from the negative spiral of U.S.-China trade escalation, Brexit trade and capital exodus, and geopolitical confrontation in the South China Sea.

Australia may be the next to act in accordance with this dovish cycle of international interest rate reductions, and the likely Australian dollar depreciation can help boost Aussie exports worldwide.

On Wall Street, the major U.S. stock market indices such as S&P 500, Dow Jones, Nasdaq, and MSCI USA plummet 3%-5% as a result. Before the dust settles on Sino-American trade conflict resolution, the Chinese central bank lets the renminbi currency weaken to 7-yuan-per-greenback in more than a decade. Any aggressive greenback depreciation (or Federal Reserve downward interest rate adjustment) may risk upsetting a reasonably stable global economic order of low inflation rates, exchange rates, and non-agribusiness employment levels in the decade after the global financial crisis of 2008-2009. The negative ripple effects can lead to more economic headwinds and fewer monetary policy levers for many central banks worldwide.

 


If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.

Blog+More

Business titans often step away from their urgent work, slow down, and invest in self-enrichment.

Laura Hermes

2017-12-23 10:40:00 Saturday ET

Business titans often step away from their urgent work, slow down, and invest in self-enrichment.

Despite having way more responsibility than anyone else, top business titans such as Warren Buffett, Charlie Munger, and Oprah Winfrey often step away from

+See More

President Trump announces the new trilateral trade agreement among America, Canada, and Mexico.

Chanel Holden

2018-10-01 07:33:00 Monday ET

President Trump announces the new trilateral trade agreement among America, Canada, and Mexico.

President Trump announces the new trilateral trade agreement among America, Canada, and Mexico: the U.S.-Mexico-Canada Agreement (USMCA) replaces and revamp

+See More

Jim Cramer provides 5 key reasons against the purchase and use of cryptocurrencies such as Bitcoin, Ethereum, and Ripple.

Becky Berkman

2017-11-23 10:42:00 Thursday ET

Jim Cramer provides 5 key reasons against the purchase and use of cryptocurrencies such as Bitcoin, Ethereum, and Ripple.

As the TV host of Mad Money, Jim Cramer provides 5 key reasons against the purchase and use of cryptocurrencies such as Bitcoin. First, no one knows the ano

+See More

House Judiciary Committee summons senior executive reps of the tech titans to assess online platforms and their market power.

Peter Prince

2019-08-18 11:33:00 Sunday ET

House Judiciary Committee summons senior executive reps of the tech titans to assess online platforms and their market power.

House Judiciary Committee summons senior executive reps of the tech titans to assess online platforms and their market power. These companies are Facebook,

+See More

President Trump hails and touts America's new high real GDP economic growth in mid-2018.

Daisy Harvey

2018-07-25 11:41:00 Wednesday ET

President Trump hails and touts America's new high real GDP economic growth in mid-2018.

President Trump hails and touts America's new high real GDP economic growth in 2018Q2. The U.S. is now a $20+ trillion economy, and America hits this mi

+See More

Goldman Sachs chief economist Jan Hatzius proposes designing a new Financial Conditions Index (FCI).

Chanel Holden

2018-07-19 18:38:00 Thursday ET

Goldman Sachs chief economist Jan Hatzius proposes designing a new Financial Conditions Index (FCI).

Goldman Sachs chief economist Jan Hatzius proposes designing a new Financial Conditions Index (FCI) to be a weighted-average of interest rates, exchange rat

+See More