Global markets have already priced in a rate hike from the US Federal Reserve expected later today, said Ian Hui, Global Market strategist at JP Morgan Asset Management. The market analysts will closely watch Janet Yellen’s commentary on inflation and gross domestic product closely. The Fed will also have to clarify whether it can undertake the fiscal stimulus that President elect Donald Trump’s government is planning.
Yellen is likely to sound more dovish, Hui said. Hui further said that improvement in developed markets could have a trickledown impact on emerging markets. Markets that are less dependent on trade with US are likely to benefit more in EM basket. India could be a beneficiary here, Hui added.
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