US Fed Interest Rate Decision Expected to Impact Global Markets Amid Earnings Wave

The Federal Reserve's upcoming interest rate decision is a focal point for global markets and investors, with significant implications for economic management and financial sectors. U.S. House Speaker Mike Johnson supported President Trump's call for rate cuts, asserting the economy is 'hot,' a stance economists widely dispute since rate cuts typically counteract economic overheating. In India, the Reserve Bank of India Governor Sanjay Malhotra emphasized that future rate cuts will depend on the outlook for inflation and growth rather than current consumer price index data, assuring that rate cuts will not trigger asset bubbles. Australia is also closely watching inflation data to guide the Reserve Bank of Australia's next move, with expectations of a possible rate cut if the trimmed mean inflation stays within target range. Market analysts anticipate volatility surrounding the Fed's decision, alongside a busy week of earnings reports from major corporations and key economic data releases such as jobs numbers, GDP, and consumer spending in the U.S. These developments collectively underscore the delicate balance central banks maintain in setting monetary policy to foster growth while controlling inflation amid complex geopolitical and economic factors.