Headline
** People rescuing an injured passenger from inside a passenger bus hit by a truck on Dhaka-Mawa Expressway in Shologhar area of Shreenagar upazila in Munshiganj on Thursday. ** Motorcycles allowed on Padma Bridge after 10 months ** Commuters charge extra fare, passengers disappointed ** 78 people killed in Yemen stampede ** Moon sighting committee meets today to ascertain Eid day ** 9 killed in road accidents in 3 districts ** US announces new $325 m military aid package for Ukraine ** Eid-ul-Fitr in Saudi Arabia today ** Eid exodus begins ** LPG price cut illusive ** 15 hurt as bus overturns in capital ** New interbank cheque clearing timings set for Eid holidays ** Four women hit by a train die in Tangail ** 12.28 lakh SIM users left Dhaka on Tuesday ** Sylhet engineer threatened over power outage ** People rush to village homes to spend Eid holidays with their near and dear ones. This photo was taken from Sadarghat Launch Terminal on Tuesday. NN photo ** Surge in cases of dehydration, diarrhoea amid summer heat wave ** Padma Bridge construction cost increases by Tk 2,412cr ** PM gives Tk 90m to Bangabazar fire victims ** Textile workers block highway demanding wage, Eid bonus ** Attack on PM's motorcade Ex-BNP MP, 3 others get life term ** Load-shedding increases for demand of electricity during heat wave ** Motorbikes to be allowed on Padma bridge from Thursday ** 5-day Eid vacation begins from today ** Take Nangalkot train accident as a warning about negligence of govt functionaries **

Asian markets reverse after recent gains as bank fears linger

25 March 2023


AFP :
Asian markets dipped Friday after a broadly healthy week, as lingering concerns about the banking sector played against hopes central banks could be nearing the end of their interest rate hiking cycle.
Pledges by authorities to provide support to troubled lenders and depositors provided stability for investors worried that the collapse of two US banks and the takeover of Credit Suisse could usher in a new financial crisis.
The turmoil has also forced the Federal Reserve and other central banks to change their monetary policy game plan to avoid further problems in the finance industry.
On Wednesday, the Fed announced a quarter-point rate hike -- half what was expected before the latest upheaval -- and indicated it could pause soon, while there is growing talk it could even begin cutting by year's end.
Observers said an expected tightening of credit in the finance sector -- caused by wary banks lending less -- would allow the Fed to step back.
But SPI Asset Management's Stephen Innes cautioned: "A Fed rate cut would likely require more turmoil in the banking sector, but more importantly, how intensely the expected tighter credit market crunch will negatively impact the real economy."
The increase came as central banks in the United Kingdom, Switzerland and Norway also raised rates, with the European Central Bank having done so last week.
Analysts said the moves indicated officials were confident the banking crisis could be contained and were still focused on bringing inflation down.
But data indicating the US jobs market remained tight highlighted the need for the Fed to stick to its policy of battling prices.
Jim Baird, at Plante Moran Financial Advisors, warned the troubles were not over yet.
"The push-and-pull between financial market stability and inflation that is receding more slowly than anyone would prefer will further complicate an already significant challenge for the Fed, increasing the risk of a policy misstep and keeping the door open for a potential recession on the horizon," he said.
Those ongoing concerns about the economic outlook weighed on equities in Asia, despite gains on Wall Street.
Hong Kong was dragged by heavy losses in heavyweight HSBC, while Tokyo, Shanghai, Sydney, Seoul, Singapore and Wellington were also down.
Concerns about the impact on demand from a possible recession or further banking upheaval weighed on oil prices, with both main contracts down more than one percent, having lost a similar amount Thursday.

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