Central banks are cutting interest rates. The Fed may not do that

On Friday, the Reserve Bank of India trimmed its reporate at 25 basis points. A day ago, after the European Central Bank cut the same amount on January 30th, the Bank of England reduced interest rates by 25 basis points.

Many economies seem to have settled in a low-rate environment as policymakers seek to promote economic growth. That is in stark contrast to the US. It is unclear whether the US Federal Reserve will even make two interest rate cuts in 2025, projected in December, given uncertainty about the economic impact of US President Donald Trump’s policies. Additionally, it appears Trump has stepped back from putting pressure on the Fed.

Prior to Trump’s inauguration, the US dollar began to begin to strengthen its highest level in more than two years, as measured by the US dollar index. This is already an impacted company such as Amazon, which accused the currency of squeezing revenues expected for the current quarter.

The US may have an advantage over other economies and stock markets for now, but the edge can cut both ways.

India’s first rate has been reduced for nearly five years
Reserve Bank of India reduced reporate by 25 basis points To 6.25%, Gov. Sanjay Malhotra said in a live-streamed speech on Friday. The move that economists had anticipated was the first time the central bank had cut prices in nearly five years. RBI forecasts substantial economic growth to be 6.4% this fiscal year, the lowest in four years, and 6.7% in 2025/26.

Bank of England trimming rate
Bank of England cut benchmark interest rates The first reduction of the year at 4.5% from 25 basis points. All members of the Monetary Policy Committee voted to lower the rate, but two out of nine voted for a larger 50 basis points cut. Central Bank Gov. Andrew Bailey said he hopes for more cuts than this year. BOE also halved its UK economy growth forecast for 2025 from 1.5% to 0.75%.

Unfortunate guidance from Amazon
Amazon Stocks fell by more than 4% since the donation Unfortunate revenue guidance for this quartercites the difficulties brought about by strong US dollars. We also announced plans to spend USD 100 billion capital expenditures in 2025mainly using artificial intelligence infrastructure. The tech giant beats and is poised to surpass fourth quarter revenue and revenue expectations Walmart As S&P 500 companies with the highest quarterly revenue.

S&P 500 consecutive profits
Thursday, S&P 500 0.36% altitude Three consecutive award dateswhile Nasdaq Composite I climbed 0.51%. Dow Jones Industrial AverageHowever, they lost 0.28%. Japan Nikkei 225 It retreated by about 0.6% after the country Household expenditures in December An unexpected jump every year during India Nifty 50 After the RBI trimmed the interest rate, it was around the flatline.

Trump focuses on yields rather than rates
The Trump administration focuses on using fiscal policy Keep the Ministry of Finance yield low for 10 years It also does not mention that “the Fed is asking for lower fees.” It shows a shift from the original of Trump Plan “We demand that interest rates drop soon.”

(professional) IBM surpasses nvidia
do not have nvidiado not have apple And not Amazon – Best performance stocks in the Dow in the last 3 months IBMrose 27%. However, tech companies need to do so I’ll do more in the field of artificial intelligence According to one Chief Investment Officer, the stock can continue to function well.

How Calvin Klein and Tommy Hilfiger got caught up in Trump’s trade war with China

China has blacklisted Calvin Klein and Tommy Hilfiger owners. This could force the company to close its stores and production in the early days of Trump’s trade war. China’s Ministry of Commerce has launched an investigation PVH Beijing officially placed the company on Tuesday on its list of “unreliable entities” as September allegedly refused to procure cotton from the infamous Xinjiang region for its Uyghur detention camps.