- January 30, 2022
- Posted by: Stratford Team
- Category: Economy
Fundamental outlook
US gross domestic product (GDP) rose 6.9 per cent in the fourth quarter (4Q), exceeding expectations. The US Federal Reserve chairman Jerome Powell said the rate hike could come as soon as March. As the inflation rose to above two per cent, he also pointed out the tapering of the asset purchase programme but has not specified a time frame.
Last Monday, Dow benchmark fell beyond 1,000 points and recovered to close at 99 points gains at market close. Market sentiment is fearful of a credit tightening as the US inflation reaches its 40-year high.
On Friday, Dow market recovered 564 points after falling for the past three weeks. Market traders have accepted the long awaited outcome of the FOMC meeting and speculated that the market might begin to make a technical correction in February.
German manufacturing PMI rose 60.5 in January, the highest in five months. However, the market sentiment remains jittery in Europe…
