4️⃣Oil & Energy Sector
Geopolitical tension = oil price swings.
India’s oil & power companies stand to gain from revaluation of inventories + heightened energy security needs https://t.co/MvKkI1UgNI
Posted On:09 May 2025
And that’s a wrap!
The U.S. Fed is playing defense in a new era of economic risk.
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Posted On:08 May 2025
5️⃣How Markets Reacted
Here’s how investors took the news:
📊 U.S. Stocks: Flat
📉 Treasury Yields: Dipped
🔎 Futures: Pricing fewer rate cuts in 2025 than before
👀 Investors are starting to accept:
Rate cuts may be slower + smaller than expected
4️⃣ Fed’s Tone & Outlook
Jerome Powell was clear:
✅ The U.S. economy is "generally healthy"
BUT...
⚠️ He warned of “rising downside risks”—tariffs & global tensions are wild cards.
👉 Translation: The Fed is now in wait-and-watch mode.
6️⃣The Bigger Picture
The Fed’s focus is no longer just inflation & employment.
Now? It’s navigating:
🔸 Geopolitics
🔸 Trade policy
🔸 External shocks
They’re walking a tightrope—balancing between cooling inflation & keeping the economy growing.
3️⃣Trade War = Stagflation Risk
A new risk is now front and center: Stagflation
What’s that?
🔸High inflation
🔸Sluggish growth
🔷These tariffs aren’t just a political move—they could slow growth while keeping prices high
