Stock Groups

Nomura forecasts 50 bp Fed hike in March -Breaking

by Mike Robinson

[ad_1]

© Reuters. FILEPHOTO: Nomura Holdings’ logo was photographed in Tokyo (Japan), December 1, 2015. REUTERS/Toru Hansai/File photo

SINGAPORE (Reuters), – Nomura analysts, Japan’s most prominent brokerage and investment bank, expect that the U.S. Federal Reserve will increase its benchmark rate 50 basis points (bps), by March.

Fed Chair Jerome Powell didn’t rule out such an action when asked after Wednesday’s Fed meeting.

Nomura analysts wrote in a note that “he repeatedly seemed to differentiate the future hiking cycle from last time the Fed normalised it policy rate at an approximately quarterly pace.”

According to them, they expect an increase of 50 bp at the March Fed meeting. Then, three more consecutive 25 bp price hikes will follow in May and June. They also stated that a 25 bp further hike is expected in December.

Disclaimer: Fusion MediaThis website does not provide accurate and current data. CFDs are stocks, indexes or futures. The prices of Forex and CFDs are not supplied by market makers. As such, they may be incorrect and different from market price. This means that prices cannot be used to trade. Fusion Media does not accept any liability for trade losses you may incur due to the use of these data.

Fusion MediaFusion Media or any other person involved in the website will not be held responsible for any loss or damage resulting from reliance on this information, including charts, buy/sell signals, and data. Trading the financial markets is one of most risky investment options. Please make sure you are fully aware about the costs and risks involved.

[ad_2]