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India's central bank will launch a pilot program in 2025 offering local cloud data storage to financial firms at affordable prices, according to two sources aware of the matter, who declined to be identified as conversations are confidential. The Reserve Bank of India's planned cloud platform will use local IT firms, pitting it against the likes of Amazon Web Services, Microsoft Azure, Google Cloud and IBM Cloud, in a first-of-its-kind initiative from a major global central bank. In December last year, RBI governor Shaktikanta Das announced plans to set up a public cloud for the financial services industry. Initial work on the cloud is being driven by the research wing of the central bank called the Indian Financial Technology and Allied Services. It will then be developed further in partnership with one or more private sector technology firms, according to the sources.
Persons: Shaktikanta Das, EY Organizations: Bank, Reserve Bank of, Amazon Web Services, Microsoft, Google, IBM, International Data Corporation, Indian Financial Technology, Allied Services, Reuters
CNBC asked Intrepid Travel and ChatGPT to put together a two-day itinerary to Melbourne City, AustraliaAsia-Pacific markets are set to open higher on Tuesday, tracking Wall Street gains buoyed by a Tesla rally, and as traders wait to watch key Chinese financial policymakers speak at an investment summit in Hong Kong. Futures for Australia's S&P/ASX 200 stood at 8,327, slightly higher than the index's last close of 8,300.2. Japan's Nikkei 225 futures pointed to a stronger open for the market, with the futures contract in Chicago at 38,275 and its counterpart in Osaka at 38,310 compared to the previous close of 38,220.85. Hong Kong's Hang Seng index futures were at 19,766, higher than the HSI's last close of 19,576.61. The Reserve Bank of Australia will publish the minutes from its monetary policy meeting earlier this month, where it held its benchmark interest rate for the eighth meeting in a row at 4.35%.
Organizations: CNBC, Intrepid Travel, Futures, Australia's, Japan's Nikkei, Reserve Bank of Australia Locations: Melbourne City, Australia Asia, Pacific, Hong Kong, Chicago, Osaka
Indian markets have been under pressure in recent weeks, but strategist Matt Orton remains bullish on the country, revealing "one of his favorite" stocks right now. ICIC Bank One stock that stands out to Orton is private bank and financial services player ICICI Bank . "ICICI Bank is one of my favorite picks because it's just a top-quality asset. ICICIBANK-IN YTD mountain Year-to-date shares in ICICI Bank Orton said ICICI is among the three "domestic systemically important banks," or those considered " too big to fail " banks by the Reserve Bank of India. According to FactSet data, of 44 analysts covering the stock, 41 give it a buy or overweight rating, while the remaining three have a hold call.
Persons: Matt Orton, Raymond James, CNBC's, Orton, it's, ICICI Bank Orton, Jefferies Organizations: Raymond James Investment Management, Bombay Stock Exchange, ICICI Bank, India's, Bombay Stock Exchanges, ICICI, Reserve Bank of India Locations: bullish, India, U.S, Mumbai
Shaktikanta Das, governor of the Reserve Bank of India (RBI), during an event at the Peterson Institute of Economics (PIIE) during the annual meetings of the International Monetary Fund (IMF) and World Bank in Washington, DC, US, on Friday, Oct. 25, 2024. Central banks have managed to engineer a soft landing through a period of "continual and unprecedented shocks," but there is still a risk of global inflation returning and of economic growth slowing down, according to India's central bank chief. Speaking Thursday in Mumbai, India, at CNBC-TV18's Global Leadership Summit, Reserve Bank of India (RBI) Governor Shaktikanta Das said monetary policy from global central banks had largely "performed well" in recent years despite conflicts, geopolitical tensions and higher volatility. "A soft landing has been ensured but risks of inflation — as I speak to you here today — risks of inflation coming back and growth slowing down do remain," Das said. Das pointed to several contradictions in global markets to underline his view, including the appreciation of the U.S. dollar, even as the Federal Reserve is cutting interest rates.
Persons: Shaktikanta Das, Das Organizations: Reserve Bank of India, Peterson Institute of Economics, International Monetary Fund, Bank, CNBC, Leadership, U.S ., Federal Reserve, U.S Locations: Washington , DC, Central, Mumbai, India, London
Australia's central bank keeps rates unchanged at 4.35%
  + stars: | 2024-11-05 | by ( Lim Hui Jie | ) www.cnbc.com   time to read: +1 min
Australia's central bank held its benchmark interest rate at 4.35% for the eighth meeting in a row, in line with expectations from economists polled by Reuters. The central bank expects that the headline rate will increase as these measures expire. The RBA instead pointed at the underlying inflation rate in Australia. The "trimmed mean" came in at 3.5% in the the September quarter, which was still "some way" from the 2.5% midpoint of the inflation target. Externally, the bank added that "heightened geopolitical risks and potential changes to trade and fiscal policies abroad add to this uncertainty."
Organizations: Reuters, Reserve Bank of Australia Locations: Australia
Asia-Pacific markets are set to trade mixed on Tuesday as investors prepared for the U.S. presidential election and a possible interest rate cut from the Federal Reserve later this week. Hong Kong's Hang Seng index futures were at 20,658, slightly higher than the HSI's last close of 20,567.52. Australia's S&P/ASX 200 slid 0.32% as traders keep an eye on the upcoming central bank rate decision. Analysts at HSBC and the Commonwealth Bank of Australia expect the Reserve Bank of Australia to leave the cash rate unchanged. South Korea's consumer inflation in October rose 1.3% from a year ago, slightly cooler than Reuters' expectations of 1.4%.
Persons: Australia's Organizations: U.S, Federal Reserve, Nikkei, HSBC, Commonwealth Bank of Australia, Bank of Australia Locations: Asia, Pacific, Chicago, Osaka
A sign for the Reserve Bank of India (RBI) sign is displayed inside central bank's headquarters in Mumbai, India. The Reserve Bank of India would be able to tap its large foreign exchange reserves to defend the domestic currency in the event of global market volatility and an outflow of foreign funds, the sources said. There has been a record outflow of more than $10 billion in foreign funds from India stocks, while foreigners pulled $700 million from the debt market. Central bank officials have not committed to or signaled any timing for a rate cut. China's stimulus efforts, which could intensify if U.S. tariffs further hurt its economy, have been a factor driving foreign funds out of India and other emerging markets into China.
Persons: Donald Trump, Kamala Harris, Trump Organizations: Reserve Bank of India, Republican, Democratic, Trump Locations: Mumbai, India, China, The U.S, Central
The euro rose 0.4% to $1.0876 but faces resistance around $1.0905, while the dollar dipped 0.3% on the yen to 152.45 yen . Analysts believe Trump's policies on immigration, tax cuts and tariffs would put upward pressure on inflation, bond yields and the dollar, while Harris was seen as the continuity candidate. "A Harris win and a split Congress would likely result in 'Trump trades' quickly reversed and priced out," he added. Uncertainty over the outcome is one reason markets assume the Federal Reserve will choose to cut rates by a standard 25 basis points on Thursday, rather than repeat its outsized half-point easing. Futures imply a 99% chance of a quarter-point cut to 4.50%-4.75%, and an 83% probability of a similar-sized move in December.
Persons: Kamala Harris, Republican Donald Trump, Harris, Chris Weston, Trump, Goldman Sachs, Jan Hatzius Organizations: Democratic, Republican, Dealers, Trump, Reserve, of England, Norges Bank, Reserve Bank of Australia, Labor, China's National People's Congress, Reuters Locations: Asia, United States, Iowa, Treasuries, gilts, Beijing
Currently, more than 80% of India's energy needs are met by coal, oil and solid biomass, according to the International Energy Agency. On the demand side, the Indian government has aggressively pushed policies that favor vehicles powered by compressed natural gas (CNG), a derivative of liquified natural gas (LNG). Meanwhile, the number of households that could receive piped natural gas is more than 300 million. For instance, natural gas is a crucial ingredient for making fertilizers, and manufacturing it domestically helps increase food security. Seth is also optimistic about India's growth rate for its third and fourth quarters despite slower capital expenditure in some states.
Persons: Punit Paranjpe, Francis Mascarenhas, They're, Maruti Suzuki, GAIL, MGL, of Home Affairs Amit Shah, David Morrison, Shah, Ajay Seth, Seth, Aravind Maiya, Embassy REITs, Maiya, Landsberg Bennett, Michael Landsberg, Landsberg Organizations: Gas, Private, Afp, Getty, International Energy Agency, Energy, Reuters, Maruti, Institute for Energy Economics, Rystad Energy, Citi, JPMorgan, Gujarat Gas, of Home Affairs, Foreign, Department of Economic, Reserve Bank of India, CNBC, Embassy, Fortune, Wealth Locations: Dhamra, Bhadrak district, India's Odisha, India, Europe, Ukraine, Moscow, Russia, Iraq, Saudi Arabia, Pune, Gujarat, Canada, U.S
An Australian one dollar coin sits atop a United States one dollar bill in this illustration photo taken February 12, 2016. The dollar hovered close to a three-month peak on Wednesday in a big week for macroeconomic data that could reveal the path for U.S. monetary policy. The Australian dollar edged closer to a three-month trough after some stickiness in inflation suggested a Reserve Bank of Australia interest rate cut is unlikely this year. The ADP employment report is due later in the day, ahead of the potentially crucial monthly payrolls report on Friday. "The U.S. dollar continues to garner strong support as markets adjust their rate path expectations," said James Kniveton, senior corporate FX dealer at Convera.
Persons: James Kniveton, Kniveton, Donald Trump, Rachel Reeves, Keir Starmer, Liz Truss Organizations: Reserve Bank of Australia, Federal Reserve, U.S ., Reserve Bank, Australia's, U.S, Treasury, Republican, European Central Bank, Sterling, Labor Locations: States, U.S, Australia, Europe
Dollar hovers near 11-week high, eyes on China property briefing
  + stars: | 2024-10-17 | by ( ) www.cnbc.com   time to read: +3 min
Ahead of the press conference, the offshore yuan was last 0.04% higher at 7.1328 per dollar. The Australian dollar , often used as a liquid proxy for the Chinese yuan, fell 0.02% to $0.6665, languishing near a one-month low hit in the previous session. "Keeping a very close eye on China, waiting for yet another press conference which is probably going to be long in rhetoric and short in detail," said Rodrigo Catril, a senior currency strategist at National Australia Bank. In the broader market, the dollar was on the front foot, after having scaled an 11-week top against a basket of peers in the previous session. The dollar index was last steady at 103.51, having peaked at 103.60 in the previous session.
Persons: Rodrigo Catril, Sterling, Donald Trump, Thierry Wizman Organizations: Reserve, National Australia Bank, European Central Bank, Republican, FX, Macquarie, New Zealand, Reserve Bank of New Locations: U.S, Asia, China
Citi: 'no magic number' for RBI's FX reserves
  + stars: | 2024-10-11 | by ( ) www.cnbc.com   time to read: 1 min
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailCiti: 'no magic number' for RBI's FX reservesCiti's chief India economist, Samiran Chakraborty clarifies how the Reserve Bank of India shores up its forex reserves, determined by India's balance of payments and capital inflows. He also discusses labor market data, noting that improving skills is a key focus for the Indian government's five-year term.
Persons: Samiran Chakraborty Organizations: Citi, RBI's FX, Reserve Bank of India Locations: India
This report is from today's CNBC Daily Open, our international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Both West Texas Intermediate and Brent futures retreated 4.63% during U.S. trading hours Tuesday, halting the red-hot rally oil prices have experienced the past week. The central bank's likely to make another half-point cut in November, Paul Bloxham, HSBC's chief economist for Australia and New Zealand, told CNBC. On the back of such turbulence, CNBC Pro asks two strategists whether now's the time to invest in China.
Persons: It's, Paul Bloxham, HSBC's Organizations: Central, CNBC, Technology, Nasdaq, Google, U.S . Department of Justice, U.S, The New York Times, West Texas Intermediate, Brent, Reserve Bank of New, CSI, CNBC Pro Locations: New York, United States, Jerusalem, Israel, Zealand, Reserve Bank of New Zealand, Australia, New Zealand, China
A security guard stands in the main entrance to the Reserve Bank of New Zealand located in central Wellington, New Zealand, July 3, 2017. New Zealand's central bank has slashed its benchmark interest rate by 50 basis points after its monetary policy meeting, marking a second straight cut to its benchmark interest rate. The cut brings the Reserve Bank of New Zealand's interest rate to 4.75% from 5.25%. The central bank said at the time that the pace of further easing will depend on how confident it is about a low inflation environment. New Zealand's annual inflation rate hit 7.3% in the June quarter 2022, its highest level in over three decades.
Organizations: Reserve Bank of New, Reuters Locations: Reserve Bank of New Zealand, Wellington , New Zealand, New
The Reserve Bank of India (RBI) kept its key interest rate unchanged on Wednesday, as widely expected, but tweaked its policy stance to "neutral," opening the door for rate cuts amid early signs of a growth slowdown in the economy. The Monetary Policy Committee, which consists of three RBI and three external members, kept the repo rate unchanged at 6.50% for a tenth straight policy meeting. The committee, however, changed its policy stance to "neutral" from "withdrawal of accommodation." The MPC last changed rates in February 2023, when the policy rate was raised to 6.50%. India's overall growth slowed to 6.7% in the June quarter.
Organizations: Bank of, Global, Reserve Bank of India, Monetary, Committee, Reuters, MPC, PMI Locations: Bank of India, Mumbai, India
The New Zealand dollar slumped to its lowest since Aug. 19 at $0.6096, after the Reserve Bank of New Zealand cut interest rates by 50 basis points. A majority of economists in a Reuters poll last week had predicted a big half a percentage point cut. The central bank kicked off an easing cycle in August seeking to trim rates from 15-year highs. The U.S. data calendar this week is relatively light, offering a breather after a strong jobs report on Friday sent the dollar jumping and markets repricing the expected scale of upcoming interest rate reductions. On Wednesday, investors will get minutes of the Fed's September meeting, which will show discussions about what at the time had appeared to be a deteriorating labor market that ended with all but one policymaker agreeing to a 50-basis point cut.
Organizations: New Zealand, Reserve Bank of New Locations: United States, Reserve Bank of New Zealand, U.S
An aerial view shows the Central Bank of India building, in Mumbai, India, 28 September, 2022. (Photo by Niharika Kulkarni/NurPhoto via Getty Images)Asia-Pacific markets rebounded on Wednesday following a broad decline in the previous session and as Wall Street rallied overnight. Investors are focused on policy decisions from the Reserve Bank of New Zealand and the Reserve Bank of India. New Zealand's central bank is expected to slash its policy rate by 50 basis points to 4.75%, while the RBI is expected to hold rates at 6.5%.
Persons: Niharika Kulkarni Organizations: Central Bank of India, Getty Images, Wall Street, Investors, Reserve Bank of New, Reserve Bank of India Locations: Mumbai, India, Asia, Pacific, Reserve Bank of New Zealand, New
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailRBNZ likely to cut rates by another 50 basis points at its next meeting: HSBC economistPaul Bloxham, chief economist for Australia and New Zealand and global commodities at HSBC, says the Reserve Bank of New Zealand is likely to cut rates further in 2025, reaching a policy rate of 3.25% by end-2025 or 3% by early 2026.
Persons: Paul Bloxham Organizations: HSBC, Reserve Bank of New Locations: Australia, New Zealand, Reserve Bank of New Zealand
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailIndia's central bank is likely to pivot toward lower rates in the next few months, economist saysKrishna Bhimavarapu, Asia-Pacific economist at State Street Global Advisors, discusses the outlook for the Reserve Bank of India's approach to interest rates, saying it's in a "sweet spot."
Persons: Krishna Bhimavarapu Organizations: State Street Global Advisors, Reserve Bank of Locations: Asia, Pacific
The dollar clung to seven-week highs against major currencies on Tuesday as investors ponder the outlook for U.S. rates after a strong jobs report last week dashed bets for large rate cuts, while escalating tensions in Middle East dented risk sentiment. Traders have drastically shifted their monetary easing expectations from the Federal Reserve this year. That has kept the dollar on the front foot and surging to a multi-week high against the euro, sterling and the yen. The New Zealand dollar was 0.3% higher at $0.6144 ahead of the monetary policy decision on Wednesday. A majority of economists in a Reuters poll last week said the Reserve Bank of New Zealand will cut interest rate by 50 basis points.
Persons: Kieran Williams, Louis, Alberto Musalem, Shigeru Ishiba Organizations: Federal Reserve, Asia FX, InTouch, Reserve Bank of St, Treasury, Bank of, New Zealand, Reserve Bank of New Locations: Middle East, Asia, China, Bank of Japan, Reserve Bank of New Zealand
Asia-Pacific markets mostly climbed on Monday, led by Japan's Nikkei 225 gaining 2% as investors look ahead to a week of central bank decisions from around the region. Three central banks are set to release their interest rate decisions this week, namely the Bank of Korea, the Reserve Bank of New Zealand and the Reserve Bank of India. Economists polled by Reuters expect the BOK and RBNZ to cut rates, while the RBI will hold. The BOK on Friday is expected to lower its benchmark interest rate to 3.25% from 3.5%, while the RBNZ is expected to enact a 50-basis-point cut to 4.75% on Wednesday. Back in August, the RBNZ surprised economists after it lowered its policy rate to 5.25% from 5.5%.
Persons: BOK Organizations: Japan's Nikkei, Bank of, Reserve Bank of New, Reserve Bank of India, Reuters Locations: Seoul . Asia, Pacific, Bank of Korea, Reserve Bank of New Zealand
Yet, India's central bank appeared to dismiss the negativity earlier this month and reiterated its bullish view of India's growth rate, still expecting the economy to grow by 7.2%. However, when prompted on whether India's growth rate could compete with what China has already achieved for over two decades, the governor was less buoyant. But if you are looking at 10-plus growth, before I venture into that, I have to really do my homework much more," Governor Das said. This week, China's central bank, President Xi Jinping and other top leaders announced plans to boost the country's economy and attract investment. If India intends to grow as fast as China did, it may have to get a move on.
Persons: Goldman Sachs, CNBC's Tanvir Gill, Shaktikanta Das, Das, Narendra Modi, he's, , Xi Jinping, David Tepper, he'd, Kaanhari Singh Organizations: Bank of America, Deutsche Bank, Reserve Bank of India, CNBC, Bank, Appaloosa Management, Barclays Locations: Wall, India, China
Australia's inflation rate has come within the RBA's target range in the month of August, easing from 3.5% in July to 2.7%., according to a Wednesday release from the country's Bureau of Statistics. The drop puts the rate below the Reserve Bank of Australia's target range of 2%-3% for the first time since August 2021. He said that while the relief programs will bring headline inflation to the top of the RBA's target range, the RBA will be "looking through" these subsidies and focusing on core inflation. He writes, "the path of core inflation back to the target range has stalled somewhat, and it is hard to see a major improvement in the near term. We think the bank will need to see three more inflation prints before they are comfortable embarking on an easing cycle."
Persons: Australia's, Michelle Bullock, Bullock, Sean Langcake, Langcake Organizations: Statistics, Reserve Bank, U.S . Federal Reserve, Fed, ., Australia's Locations: SYDNEY, AUSTRALIA, Sydney, Australia, country's, Oxford
Australia's central bank keeps rates on hold, stays hawkish
  + stars: | 2024-09-24 | by ( ) www.cnbc.com   time to read: +2 min
Reserve Bank of Australia (RBA) at the central bank's building in Sydney, Australia on May 2, 2022. The hawkish stance sent the Australian dollar 0.4% higher to $0.6864, the highest this year, and markets pared the chance of a December rate cut to 59% from 64% before the decision. Markets had wagered heavily on a steady outcome given underlying inflation remained sticky and the labor market held up surprisingly well. Governor Michele Bullock has used every opportunity recently to stress that the central bank does not expect a near-term rate cut. The RBA already trails other central bank in cutting rates, and the political pressure is ramping up for an easing.
Persons: Michele Bullock Organizations: Bank of Australia, Federal Reserve, Reserve Bank of Australia, Wednesday, Greens, Monday Locations: Sydney, Australia, Australia's
A Chinese flag in Pudong's Lujiazui Financial District in Shanghai, China, on Sept. 18, 2023. Asia-Pacific markets opened lower Monday as investors assessed monetary policy decisions from Japan and China on Friday after U.S. Federal Reserve's sharp rate cut sent markets higher last week. Despite growing calls for lower interest rates, the People's Bank of China unexpectedly left its key benchmark rate on hold on Friday. The Reserve Bank of Australia starts its two-day policy meeting on Monday, where central bankers will decide on the country's monetary policy path on Tuesday. Overall year-on-year CPI is expected to have cooled to 2.15%, compared to 2.40% the previous month
Organizations: National Bureau of Statistics, People's Bank of China, Reserve Bank of Australia Locations: Lujiazui, Shanghai, China, Asia, Pacific, Japan, Federal, Singapore
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