ANL 14.30 Decreased By ▼ -0.26 (-1.79%)
ASC 13.90 No Change ▼ 0.00 (0%)
ASL 15.33 Decreased By ▼ -0.49 (-3.1%)
AVN 102.99 Decreased By ▼ -3.78 (-3.54%)
BOP 8.75 Increased By ▲ 0.05 (0.57%)
CNERGY 7.16 Increased By ▲ 0.09 (1.27%)
FFL 9.68 Decreased By ▼ -0.08 (-0.82%)
FNEL 9.41 Decreased By ▼ -0.44 (-4.47%)
GGGL 15.30 Decreased By ▼ -0.20 (-1.29%)
GGL 23.31 Decreased By ▼ -0.50 (-2.1%)
GTECH 10.36 Decreased By ▼ -0.14 (-1.33%)
HUMNL 6.68 Decreased By ▼ -0.10 (-1.47%)
KEL 3.31 Decreased By ▼ -0.02 (-0.6%)
KOSM 4.53 Decreased By ▼ -0.05 (-1.09%)
MLCF 34.10 Decreased By ▼ -0.75 (-2.15%)
PACE 4.57 Decreased By ▼ -0.07 (-1.51%)
PIBTL 7.56 Decreased By ▼ -0.11 (-1.43%)
PRL 15.09 Decreased By ▼ -0.06 (-0.4%)
PTC 9.29 Increased By ▲ 0.02 (0.22%)
SILK 1.53 Decreased By ▼ -0.02 (-1.29%)
SNGP 34.52 Increased By ▲ 0.03 (0.09%)
TELE 18.09 Decreased By ▼ -0.26 (-1.42%)
TPL 16.10 Decreased By ▼ -0.15 (-0.92%)
TPLP 30.40 Decreased By ▼ -0.95 (-3.03%)
TREET 41.40 Decreased By ▼ -0.48 (-1.15%)
TRG 103.90 Decreased By ▼ -0.05 (-0.05%)
UNITY 28.50 Decreased By ▼ -1.05 (-3.55%)
WAVES 15.80 No Change ▼ 0.00 (0%)
WTL 2.47 Decreased By ▼ -0.03 (-1.2%)
YOUW 8.28 Decreased By ▼ -0.02 (-0.24%)
BR100 4,715 Decreased By -13.6 (-0.29%)
BR30 19,257 Decreased By -290.2 (-1.48%)
KSE100 45,763 Increased By 0.3 (0%)
KSE30 17,999 Decreased By -2.8 (-0.02%)

coronavirus
Coronavirus
VERY HIGH
Source: covid.gov.pk
Pakistan Deaths
29,012
924hr
Pakistan Cases
1,324,147
4,02724hr
Sindh
499,830
Punjab
452,261
Balochistan
33,699
Islamabad
110,963
KPK
182,199

NEW YORK: US Treasury prices gained on Tuesday before the Federal Reserve's highly anticipated interest rate decision from its two-day meeting is announced on Wednesday.

The US central bank is expected to hike interest rates for the fourth time as US growth continues to look solid.

Investors are concerned, however, about slowing international growth, volatile stock markets and the possibility of a slowing US economy, and will focus on any indications from the Fed that it may be close to pausing its tightening cycle because of these issues.

"The market's thinking more and more the Fed may be just about done, it's not quite there, but it's not got a lot yet to go," said Michael Schumacher, head of rate strategy at Wells Fargo in New York.

Comments from Fed Chairman Jerome Powell in late November that the key interest rate was "just below" neutral, a level that neither brakes nor boosts the economy, increased speculation that the Fed may end rate hikes sooner than previously expected.

They came after similarly dovish comments from Fed Vice Chair Richard Clarida.

Investors on Wednesday will watch for any modification in the Fed's language that shows that it may take a meeting-by-meeting approach to raising rates, as opposed to indicating that it has a predetermined number of rate hikes that are still likely, said Schumacher.

"Is it meeting-to-meeting or not? I think that's what people are really keen to look at," he said.

The Fed has indicated that three additional rate hikes are likely next year, based on the median expectations in its rate projections known as the "dot plot." If this falls to two rate hikes or less, it will signal to markets that the Fed is closer to pausing its rate hikes.

Interest rate futures traders are pricing in less than one full rate hike during 2019, which is down from two full rate hikes at the end of October, according to the CME Group's FedWatch Tool.

Benchmark 10-year notes gained 3/32 in price to yield 2.848 percent, after earlier dropping to 2.821 percent, the lowest since Aug. 27. The yields have fallen from a seven-year high of 3.261 percent on Oct. 9.

Copyright Reuters, 2018
 

 

 

 

Comments

Comments are closed.