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US stocks rose on Monday as investors anticipate a 25 basis points interest rate cut at the Federal Reserve's final meeting of the year. Key economic data this week includes US retail sales and November PCE, which will influence future rate decisions. Fundstrat's Tom Lee expects stocks to trend higher into year-end, supported by seasonal dynamics and institutional positioning.
The Indian real estate sector is poised for significant growth, according to UBS, which highlights strong fundamentals such as affordability and favorable inventory-to-sales ratios. Despite rising property prices, the market remains under-penetrated, with robust demand in mid-segment housing and a lag in affordable housing due to supply constraints. The analysis suggests a structural growth trajectory rather than a temporary recovery, driven by increasing wealth and interest in larger homes.
UBS's Gautam Chhaochharia asserts that the Indian real estate market is far from its peak, driven by strong fundamentals like affordability and favorable inventory-to-sales ratios. While premium housing is gaining momentum, the affordable segment faces supply constraints, yet mid-segment housing shows robust demand. The sector is viewed as a structural growth opportunity, supported by increasing wealth and a shift towards larger homes.
All eyes are on the Federal Reserve this week, with Jerome Powell's press conference expected to provide key insights following a projected 25 basis point rate cut. The eurozone's purchasing managers index shows improved business sentiment, while the ifo Business Climate Index and US retail sales figures will also be closely monitored. Additionally, the GDP growth rate and PCE core deflator data later in the week are anticipated to influence market movements.
IG
Lark Davis warns crypto investors to prepare for a potential market downturn within the next 369 days, emphasizing the importance of seizing current opportunities before they vanish. While altcoins may temporarily outperform Bitcoin, he cautions that many will not survive the next bear market. Davis highlights the need for strategic profit-taking and warns against excessive leverage, urging investors to remain disciplined and focused on long-term goals amidst looming economic uncertainty.
UBS analysts report that the UK economy has shown resilience despite a challenging political landscape, with the FTSE returning over 7% this year. While the upcoming budget may not be growth-friendly, it is expected to support economic growth in 2025. Investors are advised to focus on market performance rather than economic sentiment, as the FTSE could yield positive returns, particularly through dividends, even as interest rates are anticipated to decline gradually.
UBS analysts report that the UK economy has shown resilience despite a challenging political landscape, with the FTSE returning over 7% this year. While the upcoming budget may not be growth-friendly, it is expected to support economic growth in 2025. Investors are advised to focus on market performance rather than economic sentiment, as the FTSE could yield positive returns, particularly through dividends, even as interest rates decline gradually.
Stocks are maintaining strong gains as 2024 approaches its final full trading week. Investors are optimistic as the market shows resilience heading into the year's end.
France's financial situation is under scrutiny as its debt reaches EUR 2,450 billion, with a rising risk premium on government bonds. Despite a budget deficit of 5.5% of GDP and a debt-to-GDP ratio of 112%, debt financing remains manageable, with interest expenses at 2.3% of GDP. The intense focus on France's debt reflects broader concerns about the eurozone's stability and the European Central Bank's role in maintaining investor confidence.
Asian shares fell on Monday following disappointing economic data from China, with retail sales slowing and factory output growth flat. Meanwhile, bitcoin surged to new highs, surpassing $106,000, driven by optimism over a lighter regulatory approach under U.S. President-elect Donald Trump. In the stock market, Japan's Nikkei 225 dipped 0.1%, while Hong Kong's Hang Seng lost 0.8%. The S&P 500 ended nearly flat, marking its first weekly loss after three consecutive gains, despite a significant rise in Broadcom's shares following strong earnings.

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