MACRO ECONOMIC NEWS

Peace is the God’s Provision and Promise

Wishing A Placid Day Ahead

 

Best Regards

Arbind

 

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Macro-Economic News 21 Jan 2021

 

Sensex scales to a superb 50,000 level for the first time, in hopes of an economic recovery and positive cues from the new Biden administration. Although, the record rally of emerging markets rally is also flashing warning signs.

 

Joe Biden, 46th US president, preparing for a fight over tax, minimum wage, and restoring America’s trust. For India, the US remains a key forex source, accounting for 15-17% of goods exports.

 

Making a case for a sweeping stimulus package Janet Yellen invoked an enduring era of low-interest rates and urges to put aside concerns about the mounting national debt. 

 

The ECB is emulating its Asia-Pacific peers by controlling government borrowing costs - just in a uniquely European way. The Bank of Canada is adopting a positive tone on the outlook, looking past a weak start to 2021 as vaccine efforts accelerate. Bank of Japan Leaves Interest Rates Unchanged amid gloomy outlook while Indonesia is set to leave its benchmark interest rate unchanged as it assesses signs of price and currency pressures.

 

Indian may bring back infra bonds for taxpayers while the fiscal deficit of states is expected to hit a peak of Rs 8.7 lakh crore or 4.7 percent of their GDP. India Inc looking for a demand push, increase in expenditure in Budget 2021 whereas Fitch finds a weak reform implementation, financial sector woes could lower India's medium-term growth.

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