Fed News

While systemic banking crises generally morph into deep recessions, the euro zone's financial system is in its best shape in years, with capital, liquidity and profits all at healthy levels.

Policymakers, however, noted that business investment had "moderated from its rapid pace earlier in the year," a possible drag on future economic growth.

The dollar index, which tracks the greenback against a basket of six major rivals, slipped 0.2 percent to 94.533 as it pulled back 0.3 percent against the yen to 113.89 and $1.1655 per euro.

The Sensex on Thursday rallied 124 points to end at a new peak of 31,369 in anticipation of positive quarterly earnings that are set to roll in later this month.

The Federal Reserve raised interest rates on Wednesday for the second time in three months, citing continued U.S. economic growth and job market strength, and announced it would begin cutting its holdings of bonds and other securities this year.

The U.S. Federal Reserve raised interest rates on Wednesday for the second time in three months, a move spurred by steady economic growth, strong job gains and confidence that inflation is rising to the central bank`s target.

Federal Reserve Chair Janet Yellen said Thursday an interest rate increase likely will be appropriate "relatively soon" as long as there is further evidence of progress in the economy.

The Federal Reserve may need to run a "high-pressure economy" to reverse damage from the crisis that depressed output, sidelined workers and risks becoming a permanent scar, Fed Chair Janet Yellen said on Friday in a broad review of where the recovery may still fall short.

With a potentially volatile US presidential election and two months of economic data still to come, the Fed policymakers are engrossed in a dilemma – whether to go for a rate hike or maintain status quo. As of now, they seem to be hovering anywhere in between in the confused territory.

Equities started the week on a distinctly weak note after the Sensex tumbled 374 points on Monday -- the most in two weeks -- tracking global sell-off ahead of the US presidential debate and an OPEC meeting due this week.

Positive global and domestic cues marginally lifted the Indian equity markets during the week ended Friday.

Providing respite to the emerging markets once again, the US Federal Reserve maintained status quo with interest rates on Wednesday. Nevertheless, Fed indicated that the rates can be hiked by the year end if the labour market improves.

After a brief overnight fall, the rupee gained ground against the dollar and ended higher by 5 paise at 66.97 Friday on improvement in trade deficit data and easing fears of rate hike by the US Federal Reserve.

The Federal Reserve is close to hitting its targets for full employment and 2 percent inflation, the Fed`s No. 2 policymaker said on Sunday in comments that did not address when the U.S. central bank should next raise interest rates.

The European Central Bank left interest rates unchanged as expected on Thursday, holding them at record lows as it prints money to lift the economy and raise inflation

US inflation is likely to accelerate in coming years and move toward the Federal Reserve`s 2 percent target, Richmond Fed President Jeffrey Lacker said on Monday, flagging upside risks to price growth

World shares headed for a fifth straight week of gains on Friday, their best run in more than two years, as this week`s losses by the dollar, central bank reassurances and a 2016 high for oil all boosted confidence