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Showing posts with the label tariffs vs rate cut

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Market Daily Report: Bursa Malaysia Ends Nearly Flat As Construction Stocks Attract Buying

 KUALA LUMPUR, Sept 8 (Bernama) -- Bursa Malaysia closed almost flat on Tuesday as buying interest rotated away from index heavyweights towards smaller-cap construction stocks, with sentiment affected by geopolitical uncertainty, said an analyst. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 0.39 of a point to 1,714.40 from Monday’s close of 1,714.79. The benchmark index opened 1.65 points lower at 1,713.14 and moved between 1,710.44 and 1,714.50 throughout the trading session. The broader market was almost evenly balanced, with decliners leading gainers 548 to 546, while 598 counters were unchanged, 1,107 were untraded and 25 were suspended. Turnover expanded to 4.13 billion units valued at RM3.14 billion from 3.60 billion units valued at RM2.45 billion on Monday.

Powell Holds the Line as Tariff-Driven Uncertainty Clouds Rate Path

Federal Reserve Chair Jerome Powell made headlines again—this time not for what the Fed  is  doing, but for what it  might have done  if tariffs weren’t in the way. Speaking at the European Central Bank’s annual forum in Portugal, Powell reiterated that the Fed  would likely have cut interest rates further this year  had it not been for President Trump’s  aggressive tariff agenda , which injected fresh uncertainty into inflation forecasts and economic data. “In effect, we went on hold when we saw the size of the tariffs,” Powell said. “The prudent thing to do is to wait and learn more.” Tariffs vs. Rate Cuts: A Tug-of-War Despite pressure from the White House and some Fed governors to slash rates, Powell emphasized that the Fed must tread carefully. The central bank is watching closely to see whether  tariff-induced price increases  evolve into persistent inflation. So far, inflation has remained surprisingly  tame , but Powell warned th...