December 17, 2023Business Desk

Global Central Banks Pause Tightening, Markets Anticipate Imminent Rate Cuts Amid Inflation Fears

United States: The Fed's decision to maintain its key rate at 5.25 per cent to 5.5 per cent and the announcement of officials' unexpectedly dovish forecasts for 2024.

Source: Pixels

Britain: The Bank of England's stance against market speculation on rate cuts kept its key rate at a 15-year high of 5.25 per cent.

Source: Pexels`

Canada: In early December, the Bank of Canada retained its benchmark rate at a 22-year high of 5 per cent, leaving room for another hike.

Source: Pexels

Norway: The Norges Bank raised its key rate by 25 bps to 4.50 per cent in a decision that surprised markets, adding it would likely stay put for some time from here.

Source: Pexels

Euro Zone: The ECB is anticipated to lead the charge in rate reductions next year as economic prospects dim. It kept its deposit rate stable at 4 per cent.

Source: Pexels

New Zealand: The Reserve Bank of New Zealand maintained its interest rate at a 15-year high of 5.5 per cent in November, revising its peak rate forecast to 5.69 per cent.

Source: Pixels