From March 2022 through May 2023 the Fed raised rates at 10 successive meetings – by anywhere from a quarter to three quarters of a point – as it fought the worst rise of inflation since the early 1980s
monetary policy
China
China cuts key interest rate to boost economy
Monday’s rate cut comes close on the heels of the central bank reducing the rate for its medium-term lending facility to financial institutions last Tuesday
Central Bank
Reserve Bank of India holds key lending rate steady at 6.5%
This is the third consecutive time the Reserve Bank of India pauses a rate hike
Central Bank of Egypt
Egypt’s central bank hikes interest rates by 100 basis points
The lending rate is increased to 20.25% and the deposit rate to 19.25%
Gold market
Gold prices on track to post highest 4-month gain
According to data for retail gold in Dubai, price of 24K gold was at AED 238.75 per gram on Tuesday morning, up from AED 236.75 yesterday
Bahrain
UAE, other GCC nations hike interest rates as US Fed benchmark hits 22-year high
GCC central banks hike interest rates following the Fed’s decision to take benchmark borrowing costs to their highest level since 2001
fed interest rate increase
US Federal Reserve raises interest rates by 0.25% amid inflation concerns
The hike to the 5.25-5.50 % range – the Fed’s 11th in its last 12 meetings – is the highest in 22 years
China
China’s central bank cuts key benchmark interest rates to boost economic recovery
The one-year Loan Prime Rate, which serves as a benchmark for corporate loans, was reduced from 3.65 percent to 3.55 percent
CBUAE
Interest rates unchanged in UAE following US Federal Reserve announcement
CBUAE maintains rate at 5.15 percent; Fed finally hit a pause in the US but projections say more hikes coming before the end of year
debt sustainability
IMF warns financial stability risks have increased rapidly since October 2022
The immediate and forceful policy response reduced market anxiety, but sentiment remains fragile, the Fund said
Bank of England
Europe’s largest economies record boost in business activity
In the 20-nation euro zone, activity rose at the fastest pace since May 2022
Central Bank of Egypt
Egypt keeps key policy rates unchanged
The move comes amid dovish signals from other central banks, including the US Federal Reserve in tightening of monetary policies
inflation
What to watch for your investments in 2023
After a horrendous 2022, markets have a very strong start to the new year, with all asset classes in the green. Did a fundamental change happen in the recent weeks, or is it just a temporary burst of optimism?
Bureau of Labor Statistics
US inflation falls to year’s lowest level in December at 6.5 percent
The fall in inflation has further fuelled speculation about easing of interest rate hike by the Fed
Central Bank of Egypt
Egyptian central bank beat market expectations with a 3% rate hike
The hike is more than the 200 basis points predicted by an analysts’ poll earlier
Central Bank
Kuwait’s central bank announces 0.5 percent hike in discount rates to 3.5%
Indian central bank also announced a 35 basis points hike in lending rates to 6.25 percent on Wednesday
Abu Dhabi Securities Exchange
UAE financial market ends in green, Saudi in red amid interest rate hike
Market analysts attributed the reason for the upbeat sentiments in UAE market to the robust Q3 corporate earnings, though there was caution persisting on interest rate hike decision