Forex
US Inflation Rate Keeps Fed Rate Hike Bets Alive
The US inflation rate remained at 3.4% in August, keeping alive bets for a Federal Reserve interest rate hike.
Higher US Treasury yields could put pressure on Indian markets, bonds, and the rupee.
A weaker rupee and expensive crude oil prices add to the pressure on Indian markets.
Satish Dondapati, fund manager ETF at Kotak Mutual Fund, says that after higher-than-expected US inflation, markets may expect the Fed to remain hawkish for longer.
This could push US yields and the dollar higher, putting pressure on gold prices in dollar terms.