According to Moody's, the rupee has lost almost 4.5% of its value since the year's beginning.
According to Moody's Investors Service, the extended war between Russia and Ukraine increased borrowing rates, and weaker economic development has all contributed to a worsening of global financial conditions.
It claimed that the rise in oil and food prices brought on by the situation in Ukraine is eroding consumer buying power, driving up business input costs, and lowering investor confidence.
With rising borrowing costs and economies that have not yet fully recovered from the COVID-19 pandemic crisis, many frontier market sovereigns would find it difficult to service their debt, the report stated.
According to a report by Moody's, "global credit conditions have turned more negative and will be tighter for the rest of the year amid rising borrowing costs, the potential for a protracted military conflict between Russia and Ukraine, materially slower global economic growth, surging energy and commodity prices, a new supply-chain disruption, and increased financial market volatility."
Financial market conditions are tightening synchronously across continents as central banks in numerous nations begin to boost interest rates in reaction to excessive inflation. The US-based rating service predicted that "financial conditions would continue to tighten as interest rates rise."
Compared to its March predictions of 3.6% and 3%, respectively, Moody's reduced its economic growth forecast for the G-20 nations to 3.1% for this year and 2.9% for next year. In order to avoid a further rise in inflation expectations, central banks in both developed and developing market nations will keep raising interest rates, according to Moody's.
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
Aug 17, 2022
The laws of the financial world are different from the physical world. You can have prolonged periods of time, when sanity takes a back seat and excesses happen.
R. Venkataraman Aug 20, 2021
Retail trading or day trading has exploded because of falling brokerage rates, democratization of information, higher transparency and mobile platforms.
R. Venkataraman Jun 15, 2021
My simple message for dear readers is, if you don’t have any desperate need for funds, then don’t do anything.
R. Venkataraman May 12, 2021
The blow up of a US hedge fund has resulted in WhatsApp university offering many courses on what went wrong with Bill Hwang and Archegos.
R. Venkataraman Apr 09, 2021
The expensive valuations have been sustained by strong rebound in corporate earnings which led to ~8% upgrade in FY22 Nifty EPS since October 2020.
R. Venkataraman Mar 26, 2021
We believe the interest rates are likely to have bottomed due to inflationary pressure, large government borrowings and normalizing credit growth. Hence rate sensitive sectors should be avoided in our view.
R. Venkataraman Feb 17, 2021
As markets make new highs, one gets more emails and messages, which highlight the accomplishments of traders who have found a formula for making money.
R. Venkataraman Jan 27, 2021
Data does not seem to convincingly prove that short periods of high returns are always followed by meagre returns. Only in 4 instances, we had negative returns in the subsequent year.
R. Venkataraman Jan 01, 2021
Since September end, Bankex is up 16% with large banks like ICICI Bank, Bandhan up 20-27%, Housing Finance Companies like Repco, LICHF, PNB Housing are up 50%-100% from their six-month lows.
R. Venkataraman Oct 13, 2020
Morgan Housel’s 'The Psychology of Money' explains in detail the role of human biases in investment decisions.
R. Venkataraman Sep 26, 2020
Per Order for ETF & Mutual Funds Brokerage
Per Order for Delivery, Intraday, F&O, Currency & Commodity