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☆ Americans with low credit scores use ‘Buy Now, Pay Later’ more often
▼ + stars: | 2024-02-14 | by ( Alicia Wallace | ) edition.cnn.com time to read: +3 min

New York CNN —Americans who are already facing some financial difficulties are more intensive users of “Buy Now, Pay Later” offerings, with the majority of them tapping the short-term installment payment programs five or more times a year, according to new research released Wednesday by the Federal Reserve Bank of New York. Researchers found that almost 60% of financially fragile consumers have used Buy Now, Pay Later five or more times a year, with nearly 30% of them conducting 10 or more of the BNPL transactions annually. “More-fragile households tend to use the service to make frequent, relatively small, purchases that they might have trouble affording otherwise,” researchers wrote in the post. Buy Now, Pay Later offerings have exploded in use and availability in recent years, allowing people to make (often short-term) installment payments on furniture, travel, concert tickets, food delivery and even the grocery store. )”Some of the greatest downside risks for consumers are when they stack multiple BNPL loans and then pay for those programs with a credit card, economists and researchers have previously told CNN.

Persons: ”, Wells Organizations: New, New York CNN, Federal Reserve Bank of New, New York Fed, Liberty Street Economics, , New York Fed, Federal Reserve, CNN Locations: New York, Federal Reserve Bank of New York, , New

☆ Dollar nears 150 yen ahead of US inflation test; bitcoin buoyant
▼ + stars: | 2024-02-13 | by ( ) www.cnbc.com time to read: +4 min

The dollar flirted with the psychological threshold of 150 yen on Tuesday and held broadly steady ahead of a key reading on U.S. inflation due later in the day, while bitcoin hovered around the $50,000 mark for a second day running. The greenback last bought 149.39 yen, edging higher toward the closely-watched 150 level that analysts said would likely trigger further jawboning from Japanese officials in an attempt to support the currency. The projected rise in inflation three years from now dropped to 2.4%, the lowest since March 2020, from December's 2.6%. Analysts said the latest boost to bitcoin comes ahead of its halving event, which will cut the reward for successfully mining a bitcoin block in half. The expectation of rate cuts certainly helps, but it doesn't explain what's really set fire to bitcoin over the past four, five sessions," said IG's Sycamore.

Persons: pare, that's, Tony Sycamore, It's, Kyle Rodda Organizations: greenback, Bank of, IG, Federal Reserve Bank of New, U.S ., New Zealand, U.S, bitcoin Locations: Asia, China, Hong Kong, Bank of Japan, U.S, United States, Federal Reserve Bank of New York, December's, Europe

Still, that is considerably below where inflation was in 2022 and much of last year. Along with the health of the labor market, the Fed considers inflation among the key economic data points to watch as it looks to start cutting interest rates this year. “If inflation comes in below expectation, the markets will cheer the welcome news that the economy and the job market can remain solid without increasing inflation. On Friday, more inflation data will be released with the January producer price index – a measure of what businesses pay for the products and services they sell. The PPI is often a predictor of future inflation as it shows prices that are early in the pipeline and often passed on to consumers.

Persons: ”, Skyler Weinand, Regan, Venkat Balakrishnan, Jerome Powell, “, Dan North, “ Powell, Melissa Brown, Signifyd, ” Signifyd Organizations: Labor, Federal Reserve, Dow, Industrial, Regan Capital, Fed, Federal Reserve Bank of Atlanta, Allianz Trade, ”, PPI Locations: North America

☆ New Zealand central bank blames inflation for restrictive policy
▼ + stars: | 2024-02-12 | by ( ) www.cnbc.com time to read: +1 min

Adrian Orr, governor of the Reserve Bank of New Zealand (RBNZ), speaks during a news conference in Wellington, New Zealand, on Thursday, Aug. 9, 2018. New Zealand's top central banker on Monday said the inflation challenge was still not over and cited broad financial pressure for retaining a "restrictive monetary policy" position. Reserve Bank of New Zealand (RBNZ) Governor Adrian Orr, appearing before a parliamentary committee, said the current inflation rate at 4.7% was still too high and that the board's aim was to continue to slow it down to around 2%. "That's why we've retained a restrictive monetary policy stance with the official cash rate at 5.5% and we'll be back at the end of this month again with our updated views on the wisdom of that stance," Orr told lawmakers. The bank is due to meet at the end of the month.

Persons: Adrian Orr, we've, we'll, Orr Organizations: Reserve Bank of New Zealand Locations: Wellington , New Zealand

The most common measure of inflation, the CPI is expected to have fallen to 2.9% annually from 3.4% while the core CPI, excluding food and energy costs, is forecast to have declined to a 3.7% rate from 3.9% in December. Year-end revisions to 2023 CPI data, released last Friday, showed inflation was actually slightly lower on a monthly basis in December than earlier estimated. “But ‘generally’ doesn’t necessarily mean linear or consistent – there could very well be bumps ahead.”“Core inflation today is being primarily driven by shelter and wage-sensitive core services,” Lin added. Headier growth could mean prices will take longer to revert back to the 2% annual inflation target set by the Federal Reserve. The day also brings the first reading on consumer sentiment for February from the University of Michigan’s key index.

Persons: ”, BeiChen Lin, ” Lin, Jerome Powell, David Andolfatto, Louis, “, Bill Adams, Waran Organizations: Russell Investments, Economic, Federal Reserve Bank, Atlanta’s, Federal Reserve, Research, Miami Herbert Business School, University of Miami, Federal Reserve Bank of St, University of, Comerica Bank, “ Locations: U.S

☆ To shore up Social Security, this controversial proposal calls for limiting retirement plan tax perks
▼ + stars: | 2024-02-09 | by ( Lorie Konish | ) www.cnbc.com time to read: +4 min

But a new research proposal published by the Center for Retirement Research at Boston College by experts at the opposite ends of the political spectrum has sparked considerable opposition. Together, they call for limiting current tax preferences for retirement savings plans, and instead redirecting those funds to help shore up Social Security. How retirement plan tax incentives workIn 2024, the limit for total employee and employer contributions to a defined contribution plans such as 401(k)s is $69,000 in 2024. By rolling back the tax incentives provided through defined contribution retirement plans, the money saved could be used to help fix a portion of Social Security's funding gap, the researchers argue. "We now have an industry and a policy based on 401(k)s and defined contribution plans that has been, relatively speaking, successful," Fichtner said.

Persons: Andrew Biggs, Alicia Munnell, Biggs, Munnell, Michael Wicklein, Jason Fichtner, Fichtner Organizations: Istock, Getty, Center for Retirement Research, Boston College, American Enterprise Institute, Federal Reserve Bank of Boston, Social Security, U.S, Mercatus, George Mason University, Cato Institute, National Association of Plan, Center, Board

☆ BlackRock is shaking up leadership of its influential consulting business
▼ + stars: | 2024-02-09 | by ( Rebecca Ungarino | ) www.businessinsider.com time to read: +3 min

Read previewThe two executives who have ran BlackRock's influential consulting business since 2020 are each being promoted to new roles at the asset manager, a spokesperson told Business Insider, as BlackRock makes sweeping changes to its leadership ranks across divisions. The firm is naming Brandon Hall as the firm's deputy chief operating officer, reporting to Rob Goldstein, BlackRock's chief operating officer and a prominent leader at the company. He replaces Stacey Mullin, who had held the role since 2022 and was recently named chief of staff to BlackRock Chief Executive Larry Fink. He will report to Charles Hatami, who runs the group known as FSIG and heads up BlackRock's business in the Middle East. Martin Small, now the New York-based firm's chief financial officer, had previously held roles in FMA.

Persons: —, Brandon Hall, Rob Goldstein, Stacey Mullin, Larry Fink, Ben Leax, Charles Hatami, FMA, Goldstein, Martin Small, Hatami, Mark Wiedman, Fink, Mark Erickson, Mark Azzopardi Organizations: Service, BlackRock, Business, Financial, Hall, BI, Federal Reserve Bank of New Locations: New York, FMA, Federal Reserve Bank of New York

Credit expanded by just 0.4% in the month, according to the Federal Reserve’s monthly credit report released Wednesday. And it still leaves consumers with record levels of credit card debt. Of that, credit card balances grew by $212 billion to $1.13 trillion, while mortgage balances rose by $112 billion to $12.25 trillion. “Credit card and auto loan transitions into delinquency are still rising above pre-pandemic levels,” said Wilbert van der Klaauw, economic research advisor at the New York Fed. Average card balances rose by 10% from a year ago to $6,360, a record.

Persons: ”, Wilbert van der, TransUnion, Michele Raneri, Scott Haymore, “ Deleveraging, Wells Fargo Organizations: Federal, Federal Reserve Bank of New, Auto, New York Fed, millennials, TransUnion, TD Bank Locations: Federal Reserve Bank of New York, Wells Fargo

WASHINGTON (AP) — From Wall Street traders to car dealers to home buyers, Americans are eager for the Federal Reserve to start cutting interest rates and lightening the heavy burden on borrowers. Why, with inflation nearly conquered and interest rates at a 22-year high, isn't now the time to cut? High rates could also compound the struggles of banks that are saddled with bad commercial real estate loans, which would be harder to refinance at higher rates. “We need the government to address the interest rates ... and understand that they’ve accomplished their goal of lowering inflation," Kelleher said. If so, that might not just delay the Fed's rate cuts, but result in fewer of them.

Persons: isn't, ”, Steven Blitz, “ They’re, ” Loretta Mester, Mester, “, David Kelleher's Chrysler, Kelleher, ” Kelleher, Powell, ” Powell, we’re, Andrea Kugler, Eric Swanson Organizations: WASHINGTON, Federal Reserve, GlobalData, Lombard, Federal Reserve Bank of Cleveland, Jeep, Fed, University of California Locations: Wall, Philadelphia, Irvine

A man exercises in a gym near a barcode for Paytm, an Indian cellphone-based digital payment platform, in New Delhi on November 18, 2021. The Indian Finance Ministry, the RBI and Paytm did not immediately respond to CNBC's requests for comment. A Paytm spokesperson has denied any violation of foreign exchange laws, calling them "unfounded and factually incorrect," according to Reuters. The shares saw a massive three-day sell-off following the RBI's order last week which wiped out more than $2.5 billion in value, before a subsequent bounce. Earlier in the week, Indian billionaire Mukesh Ambani's Jio Financial Services denied media reports it was buying Paytm's wallet business.

Persons: Paytm, It's, Vijay Shekhar Sharma, Nirmala Sitharaman, Sharma, Mukesh Ambani's Organizations: Reserve Bank of, CNBC, Reuters, Indian Finance Ministry, One97 Communications, India's National Stock Exchange, Financial Services Locations: New Delhi, Reserve Bank of India

☆ Average credit card balances jump 10% to a record $6,360 as more consumers fall behind on payments
▼ + stars: | 2024-02-08 | by ( Jessica Dickler | ) www.cnbc.com time to read: +1 min

Americans now owe $1.13 trillion on their credit cards, the Federal Reserve Bank of New York reported Tuesday. In that case, credit cards are one of the most expensive ways to borrow money. The average credit card charges a record-high 20.74%, according to Bankrate. Millennials increasingly lean on creditStill, consumers often turn to credit cards, in part because they are more accessible than other types of loans. How to tackle credit card debt

Persons: Ted Rossman, Cardholders, Wise, that's Organizations: Federal Reserve Bank of New Locations: Federal Reserve Bank of New York, TransUnion

☆ Asia markets largely set to rise ahead ahead of China's inflation numbers and India's rate decision
▼ + stars: | 2024-02-08 | by ( Lim Hui Jie | ) www.cnbc.com time to read: 1 min

A butcher (L) shows a piece of pork to a customer at a market in Beijing on July 10, 2019. NICOLAS ASFOURI | AFP | Getty ImagesAsia-Pacific markets are set to rise as investors look toward China's inflation figures for and the Reserve Bank of India's rate decision. China's consumer price index for January is expected to fall 0.5% year-on-year, while the Reserve Bank of India is forecast to hold rates at 6.5%. Japan's Nikkei 225 is also set to rise, with the futures contract in Chicago at 36,375 and its counterpart in Osaka at 36,280 against the index's last close of 36,119.92. However, futures for Hong Kong's Hang Seng index stood at 16,024, pointing to a weaker open compared with the HSI's last close of 16,081.89.

Persons: NICOLAS ASFOURI Organizations: AFP, Getty, Reserve Bank, Reserve Bank of, Nikkei Locations: Beijing, Asia, Pacific, Reserve Bank of India, Australia, Chicago, Osaka

“What we’ve seen with the Taylor Swift tour is something that we’ve not really seen before,” said Richard Clarke, an analyst at investment firm Bernstein. Taylor Swift performs at the Staples Center in Los Angeles in 2015. From Taylor Swift On her birthday in 2019, Swift shared this photo of herself as a child. From Taylor Swift A 13-year-old Swift sings the National Anthem before an NBA game in Philadelphia in 2002. John Mabangalo/Pool/Getty Images Swift performs during a sold-out show at New York's Madison Square Garden in 2009.

Persons: Tokyo CNN —, Taylor, Travis Kelce, Taylor Swift, we’ve, ”, Richard Clarke, Bernstein, “ It’s, TikTok she’d, curating, Kane Ishiyone, Swift, –, Ishiyone, Richard A, Brooks, Clarke, “, that’s, Christopher Polk, Scott, Andrea Swift, Jesse D, Tim McGraw, Kevin Winter, John Mabangalo, Chad Batka, Bryan Bedder, Larry Busacca, Miley Cyrus, Lucas Till, Hannah Montana, Sam Emerson, Everett, Jonas, Frank Masi, I'm, West, Beyoncé, Jeff Kravitz, Lucy Nicholson, Christopher Morris, Josh Haner, Kevin Mazur, James Taylor, Charles Sykes, Matt Sayles, Mark J, Terrill, Invision, Jimmy Fallon, Douglas Gorenstein, Nicholas Harvey, Kanye West, Kim Kardashian, Laraine Newman, Bill Hader, Taran Killam, Kristen Wiig, Keenan Thompson, Fred Armisen, Kerry Washington, Betty White, Bradley Cooper, Dana Edelson, Andrea, Ethan Miller, Tim Boyles, Selena Gomez, Jordan Strauss, Mike Coppola, John Shearer, Andrew Lloyd Webber, Brandon Urie, Katy Perry, Republic Records Jack Antonoff, Aaron Dessner, Will Heath, Seth Wenig, Terence Rushin, David Eulitt, Mitsumasa Etou, Akazawa, haven’t, It’s, Michele Bullock Organizations: Tokyo CNN, People, Kansas City Chiefs, Taylor, Getty, Super Bowl, Chicago Bears, dateline, Vegas, Staples Center, NBA, of Country, Garden, New York Times, New York's Rockefeller Center, Walt Disney Co, Kanye, Madison, MTV, NBC, ACM, Academy of Country, New York's Metropolitan Museum of Art, Universal Pictures, Coachella, Republic Records, New York University, Arrowhead, Chiefs, NET, Tokyo City University, Fuji, Tokyo, Reserve Bank of Australia, Reuters Locations: Tokyo, Las Vegas, Philippines, Fukuoka, Japan, Germany, Austria, Netherlands, Shibuya, AFP, Asia, Washington, Las Vagas, Los Angeles, West Reading , Pennsylvania, Philadelphia, New York, Auburn Hills , Michigan, Newark , New Jersey, Pennsylvania, Frankfurt, London, Arlington , Texas, Tampa, Chicago, Atlanta, Kansas City , Missouri, Asia Pacific, Singapore, Australia, East Coast

☆ Fed's Neel Kashkari expects only two or three interest rate cuts this year
▼ + stars: | 2024-02-07 | by ( Jeff Cox | ) www.cnbc.com time to read: +2 min

Neel Kashkari, President and CEO of the Federal Reserve Bank of Minneapolis, speaks during an interview with Reuters in New York City, New York, May 22, 2023. Minneapolis Federal Reserve President Neel Kashkari said Wednesday that he expects the central bank to cut rates only a few times this year, contrary to market expectations. "We just need to look at the actual inflation data to guide us," Kashkari said. He added that there are "compelling arguments to suggest we could be in a longer, higher rate environment going forward." Kashkari said the trend indicates that interest rates may not be exerting as much pressure on the economy as expected.

Persons: Neel Kashkari, Jerome Powell, Kashkari Organizations: Federal Reserve Bank of Minneapolis, Reuters, Minneapolis Federal, CNBC, CBS, Market, Minneapolis Fed, Labor Locations: New York City , New York, Minneapolis

☆ Millennials and Gen Z saw their wealth balloon during the pandemic
▼ + stars: | 2024-02-07 | by ( Juliana Kaplan | ) www.businessinsider.com time to read: +3 min

A new analysis from Liberty Street Economics finds younger Americans saw their net worths swell. That might be because their new pandemic stimulus let them invest more. Coming into the pandemic, Americans under 40 were holding just under 6% of all US wealth, according to Liberty Street Economics, even as they made up just under 40% of adults. And it was a boon: Americans under 40 — who comprise both Gen Zers old enough to be in the full-time workforce, and almost all millennials — saw their real wealth skyrocket by around 80%. AdvertisementThose younger Americans were willing to make riskier investments, as the analysis notes, perhaps due to just how far out they are from retiring.

Persons: —, That's, Xers, Gen Zers, Rajashri Chakrabarti, Natalia Emanuel, Ben Lahey, Gen Z Organizations: Liberty Street Economics, Service, Liberty Street, Federal Reserve Bank of New Locations: Federal Reserve Bank of New York, —

☆ Credit card and auto loan delinquencies are the highest in more than a decade
▼ + stars: | 2024-02-06 | by ( Alicia Wallace | ) edition.cnn.com time to read: +2 min

New York CNN —Americans — particularly Millennials and those with lower incomes — are becoming increasingly overextended financially: Credit card and auto loan delinquencies have not only surpassed pre-pandemic levels, they’re the highest they’ve been in more than a decade. Debt balances increased across the board, with credit card balances rising $50 billion to hit a new nominal high of $1.13 trillion (when adjusting for inflation, balances have yet to surpass the levels seen in 2008). “Credit card and auto loan transitions into delinquency are still rising above pre-pandemic levels,” Wilbert van der Klaauw, economic research adviser at the New York Fed, said in a statement. “The delinquency numbers are pretty eye-opening, especially when it comes to credit cards,” Matt Schulz, chief credit analyst at LendingTree, told CNN via email. Student loan delinquencies will not be reported to the credit bureaus until later this year.

Persons: ” Wilbert van der, Matt Schulz, “, delinquencies Organizations: New, New York CNN, Federal Reserve Bank of New, York Fed, New York Fed, CNN Locations: New York

☆ Dollar firms near 3-month high as rate cut bets dwindle
▼ + stars: | 2024-02-06 | by ( ) www.cnbc.com time to read: +3 min

The U.S. dollar was perched near a three-month peak on Tuesday, buoyed by elevated Treasury yields, on growing expectations that the Federal Reserve is unlikely to cut interest rates aggressively this year. The U.S. dollar was perched near a three-month peak on Tuesday, buoyed by elevated Treasury yields, on growing expectations that the Federal Reserve is unlikely to cut interest rates aggressively this year. The string of robust U.S. economic data has quashed any lingering hopes of early and steep interest rate cuts by the Fed, with Fed Chair Jerome Powell and other policymakers also pushing back against the notion. Figures showed that the unemployment rate was likely much lower late last year than previously thought, which could push out rate cuts there, too. The Japanese yen strengthened 0.07% to 148.56 per dollar, hovering around a two-month low of 148.90 it touched on Monday.

Persons: Jerome Powell, Christopher Wong, Michele Bullock, Kristina Clifton Organizations: U.S, Federal, Investor, Reserve Bank of Australia, Investors, Reuters, Commonwealth Bank of Australia Locations: Singapore, Asia

☆ India's Paytm shares pop 8% after Ambani's Jio Financial denies deal talks for wallet business
▼ + stars: | 2024-02-06 | by ( Shreyashi Sanyal | ) www.cnbc.com time to read: +1 min

A restaurant advertises the use of the Paytm digital payment system in Mumbai, India, on Saturday, July 17, 2021. It comes after Indian billionaire Mukesh Ambani's Jio Financial Services denied media reports it was buying Paytm's wallet business. Hindustan Times reported Monday that Jio Financial, owned by Ambani's conglomerate Reliance, would acquire Paytm's wallet business. The report sent shares of Jio Financial up as much as 16.5% on an intraday basis yesterday. Jio Financial issued a statement to the exchange late Monday to confirm it was not in talks to buy Paytm's digital wallet business.

Persons: Mukesh Ambani's, Paytm Organizations: Financial Services, Communications, India's National Stock Exchange, Reserve Bank of India, Paytm Payments Bank, Hindustan Times, Jio Locations: Mumbai, India

Lamp posts in front of the Reserve Bank of Australia (RBA) building in Sydney, Australia, on Monday, Feb. 6, 2023. Asia-Pacific markets were set for a mixed open ahead of the interest rate decision from the Reserve Bank of Australia later Tuesday. Twenty-nine economists polled by Reuters unanimously expect the RBA to hold rates at 4.35%. In Japan, household spending dipped more than expected in December, falling 2.5% year on year compared with the 2.1% expected by economists polled by Reuters. The Bank of Japan has said sustainable wage increases are one of the prerequisites for unwinding its ultra-loose monetary policy.

Organizations: Reserve Bank of Australia, Reuters, Bank of Locations: Sydney, Australia, Asia, Pacific, Japan, Bank of Japan

☆ The Reserve Bank of Australia probably won't cut rates in 2024, HSBC says
▼ + stars: | 2024-02-06 | 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 EmailThe Reserve Bank of Australia probably won't cut rates in 2024, HSBC saysPaul Bloxham, HSBC's chief economist for Australia, New Zealand and global commodities, says the central bank is "more concerned about inflation being too high than they are about the fact that growth has slowed."

Persons: Paul Bloxham, HSBC's Organizations: Bank of Australia, HSBC Locations: Australia, New Zealand

☆ Credit card debt hits a 'staggering' $1.13 trillion. Here's why so many Americans are under pressure
▼ + stars: | 2024-02-06 | by ( Jessica Dickler | ) www.cnbc.com time to read: +2 min

Credit card balances increased by $50 billion, or roughly 5%, in the fourth quarter of 2023, the New York Fed found. As the federal funds rate rose, the prime rate did, as well, and credit card rates followed suit. Why credit card debt keeps rising"Even though $1 trillion in credit card debt is a staggering number to wrap your brain around, the unfortunate truth is that it is only going to keep climbing from here," said Matt Schulz, chief credit analyst at LendingTree. Despite the steep cost, consumers often turn to credit cards, in part because they are more accessible than other types of loans, Schulz said. What to do if you're in credit card debt

Persons: millennials, Wilbert van der, Matt Schulz, Schulz Organizations: Federal Reserve Bank of New, New York Fed Locations: Federal Reserve Bank of New York

ISTANBUL (AP) — Turkey has seen its fifth central bank leader depart in as many years as Hafize Gaye Erkan, the first woman in the top role, stepped down after just eight months in the job. Photos You Should See View All 45 ImagesHere are key things to know about the central bank shakeup and what it means for Turkey's battered economy:WHY IS THERE A NEW CENTRAL BANK LEADER? Erkan resigned after weeks of media stories about her father’s undue influence in the central bank’s Istanbul office. Previous changes in central bank leadership has seen Erdogan row back on efforts to bring inflation under control through interest rate hikes. He was brought in as the bank’s deputy head at the same time Simsek took over the Finance Ministry and Erkan was appointed to lead the central bank.

Persons: Hafize Gaye Erkan, Goldman Sachs, Recep Tayyip Erdogan, — Erkan, ”, Fatih Karahan, Mehmet Simsek, Erdogan, Erkan, Karahan, Simsek's, Simsek, Liam Peach, Selcuki, ” “ It’s, ” Selcuki Organizations: —, Finance, WHO, FATIH, Finance Ministry, University of Pennsylvania, Federal Reserve Bank of New, Amazon, Capital Economics, Istanbul Economy Research Locations: ISTANBUL, — Turkey, Turkey, Istanbul, Simsek, U.S, Federal Reserve Bank of New York, Columbia, New York, Ankara

☆ Fed's Kashkari backs sentiment that policymakers can take their time cutting interest rates
▼ + stars: | 2024-02-05 | by ( Jeff Cox | ) www.cnbc.com time to read: +1 min

Neel Kashkari, president and CEO of the Federal Reserve Bank of Minneapolis, during an interview in New York on Nov. 7, 2023. Interest rates running at their highest levels in about 23 years are not hurting the economy and could buy policymakers more time before deciding whether to cut, Minneapolis Federal Reserve President Neel Kashkari said Monday. In an essay released on the central bank's website, Kashkari said economic developments have shown that Fed policy is not as restrictive on growth as it appears on the surface. That means the longer-run "neutral" rate, or the level that is neither restrictive nor stimulative, is probably higher than before the Covid-19 pandemic. Markets have been betting on an aggressive move lower, but recent statements from central bank officials indicate little need to hurry.

Persons: Neel Kashkari, Kashkari Organizations: Federal Reserve Bank of Minneapolis, Minneapolis Federal Locations: New York

☆ Asia markets poised for mixed open as they kickstart holiday-shortened week; central bank decisions in focus
▼ + stars: | 2024-02-05 | by ( Lim Hui Jie | ) www.cnbc.com time to read: +1 min

Jade Gao | Afp | Getty ImagesAsia-Pacific stocks were set for a mixed open as they kickstart a holiday-shortened trading week for some markets. Investors will watch out for key central bank decisions this week, especially from the Reserve Bank of Australia on Tuesday and the Reserve Bank of India on Thursday. On Monday, private surveys on service sector activity will be released from China and Hong Kong. Hong Kong's Hang Seng index is also set to fall, with futures at 15,412 compared to the HSI's close of 15,533.56. China, Taiwan, South Korea, Singapore, and Hong Kong will all see shortened trading weeks as the Lunar New Year approaches.

Persons: Jade Gao, Hong Organizations: Central Business District, Afp, Getty, Investors, Reserve Bank of Australia, Reserve Bank of India, Nikkei Locations: Beijing, Asia, Pacific, China, Hong Kong, Singapore, Thailand, Australia, Chicago, Osaka, Taiwan, South Korea

Where does the economy go from here? Consumers are feeling better, expecting that the economy will do well and inflation will subside in the coming 12 months. While the economy ended last year on a strong note, the expectation was that it would cool down as the calendar turned to 2024. Last week, the International Monetary Fund boosted its projection for global growth to 3.1% from its October estimate of 2.9%, citing “greater-than-expected resilience” in the U.S. economy. The Federal Reserve Bank of Atlanta’s GDPNow forecast has the U.S economy growing at a 4.2% clip in the first quarter.

Persons: ”, Jerome Powell, Powell, ” Powell, Lightcast, Rachel Sederberg, “, That’s Organizations: Federal, Labor Department, ” Comerica Bank, Fed, CBS, International Monetary Fund, Federal Reserve Bank, Atlanta’s, Santander Bank, ” Locations: U.S, ” Santander

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