Indian stocks fell Thursday during the morning trade in line with weakness in the US markets, which declined sharply overnight as the US Federal Reserve went ahead with its further monetary policy tightening to bring down inflation to its target-- even as volatility in the banking system
Benchmark stock indices in India settled in the green on Friday, tracking positive cues from overseas markets which improved after the recent slump -- following the collapse of Silicon Valley Bank and aftereffects on some other banks.
The rating agency opines that the transmission of monetary policy in the banking system could intensify in FY24 driven by the sharp rise in bank's marginal cost of funding.
Ravi Menon, Managing Director of the Monetary Authority of Singapore said most central banks have shifted to a more moderate pace of monetary policy tightening in line with inflation coming off its peak, however, he believes the tightening cycle has some ways to go as the inflation numbers a
Till Friday, the stocks declined over concerns that global growth will continue to slow in 2023 due to monetary policy tightening by various central banks to control inflation.
Benchmark stock indices extended their losses from the previous session as market sentiments remain subdued over global inflation and subsequent monetary policy actions by various central banks.
Minutes of the latest monetary policy meeting of the US Federal Reserve showed some of the participants noted that the probability of the economy entering a recession in 2023 remained elevated.
The domestic equity markets on Tuesday continued with losses amid weak cues from global stocks. Indices of BSE IT, BSE Realty and BSE Financial Services also settled in the negative territory on Tuesday.