Markets moving to tune of inflation, interest rates

FILE - A person looks at an electronic stock board showing Japan's stock prices at a securities firm Friday, March 1, 2024, in Tokyo. Asian shares mostly rose Wednesday, March 13, encouraged by a record rally on Wall Street that was led by technology companies. (AP Photo/Eugene Hoshiko, File)

SINGAPORE: Getting from 9% to 3% is easier than getting from 3% to 2%. And this reality is rattling markets as sticky inflation numbers keep investors guessing the central banks’ next move on interest rates.

It was a rocky week for markets, with major global indexes hitting upside resistance levels amid signs that the downtrend in inflation may be slowing. There was also some hesitancy on taking positions before the gathering of the US Federal Open Markets Committee today and tomorrow, when pronouncements by chairman Jerome Powell and his US Federal Reserve (Fed) colleagues will be closely watched.