Federal Reserve Chairwoman Janet Yellen will be pressed on Tuesday about whether the weaker-than-expected job growth will throw a wrench in the central bank’s tapering plans.
Indian markets today also witnessed a very range bound trading as the market lagged triggers. Today Jennet Yellen (Newly appointed US Fed chairman) will deliver her first view on the monetary policy. It is a known fact that the Indian markets along with its Asian peers are highly dependent on the FII inflow. And her view would provide a good amount of clarity on whether the flow would continue or would reduce going ahead. As a result there was no one who wanted to take a bold step ahead of her spec, ultimately keeping the global markets range bound.
Now the important factor is what to expect from her when she delivers her speech. She has always been considered as pro liquidity and hence one can expect the similar tone today also. Rather even the data on the unemployment front is suggesting that she may ease off the tightening monetary conditions. In the past Two monetary policies Ben Bernanke has cut the bond buying by USD 10 billion each time to take it to the USD 65 billion per month. We expect Yellen to put some breaks on the cut in bond buying and ease some liquidity position. However these are only expectations and the US Fed Chairperson always come out with something surprising every time.
Yellen will chair her first policy-making committee meeting on March 18-19. If the Fed continued to see data suggesting slow growth “there would have to be serious discussion” about whether to change its policy stance
Lets See..
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As Usual Choppy Trading again. It seems like updating the same chart for last 2 days. May be Nifty too waiting for Yellens Speech. So lets wait and see.
>>> CESC <<<
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Yes we are Short from 446, made a low of 436. Head and Shoulder break down may trigger more fall. Lets See.
