Best printers for Home

Best Mixer Grinder

Best wired Earphones

Best 43 Inch TV in India

Best Wi Fi Routers

Best Home Theatre in India

Smart Watch under 5000

Best Laptops for Education

Best Laptop for Students

<ul class="summary-list"><li>More than $1 trillion worth of property lies in Hurricane Milton's path, Moody's estimated.</li><li>More than 235,000 commercial properties could be exposed to dangerous winds, per Mood's. </li></ul>Hurricane Milton <a target="_blank" class="" href="https://www.businessinsider.com/hurricane-milton-landfall-florida-housing-market-insurance-fema-2024-10">made landfall</a> in Florida on Wednesday as a Category 3 hurricane, and analysts estimate that $1.1 trillion worth of commercial property is set to be exposed to dangerous hurricane winds.According to an <a target="_blank" class="" href="https://www.moodys.com/web/en/us/about/insights/data-stories/hurricane-milton-tracker.html">estimate by Moody's Analytics</a> on Tuesday, more than 235,000 commercial real estate properties in Florida — worth $1.1 trillion —have a greater than 50% chance of being exposed to wind speeds of at least 50 miles per hour.This is the speed at which some property damage is likely, the Moody's report said.According to the report, the properties include 44,122 industrial spaces, 78,916 retail properties, 42,387 office buildings, 64,857 apartment buildings, and 5,056 hotels.According to an analysis note by Jefferies, Milton's estimated financial damage in Florida could reach $175 billion."While too early to make insured loss estimates, a major hurricane impact in one of Florida's most heavily populated regions could result in mid-double-digit billion dollar loss," Jefferies equity analysts said in a note."A 1-in-100 year event is estimated by some to result in $175bn in losses for landfall in the Tampa region, and $70bn in losses in the Ft Myers region," the note added.The monster storm <a target="_blank" href="https://www.businessinsider.com/hurricane-milton-timeline-see-storm-evolution-from-space-satellite-imagery-2024-10">morphed rapidly into a Category 5 hurricane</a> over two days. But it was downgraded to Category 3 when it made landfall in Florida's Sarasota County on Wednesday.The National Hurricane Center has warned that the storm could trigger flooding and storm surges as high as 15 feet along the coast.Milton comes just days after Hurricane Helene ravaged Florida and other southeastern states, leaving more than <a target="_blank" class="" href="https://apnews.com/article/hurricane-helene-death-toll-asheville-north-carolina-34d1226bb31f79dfb2ff6827e40587fc">200 people dead</a>.In a report on September 30, Moody's Analytics projected the damage from Helene to be between <a target="_blank" class="" href="https://www.businessinsider.com/analysts-estimate-up-to-34-billion-damage-from-hurricane-helene-2024-10">$20 billion and $34 billion.</a>

Hurricane Milton is headed right into $1.1 trillion worth of commercial real estate properties: Moody's

<ul class="summary-list"><li>US stocks dropped Tuesday, and the Dow lost more than 260 points at the open.</li><li> Moody's downgraded 10 US banks and also put other firms on downgrade watch.</li></ul>US stocks opened lower on Tuesday, with the Dow shedding almost 300 points as investors assess Moody's downgrade of 10 small and mid-sized US banks. Moody's slashed the credit ratings on the banks on Monday, while also placing several other larger firms under review including Bank of New York Mellon, US Bankcorp, Northern Trust, and State Street.The rating agency also published negative outlooks for 11 banks, including Citizens Financial and Capital One.Shares of mega-cap banks were also down on the move, with Bank of America, JPMorgan, and all trading lower by nearly 3% Tuesday morning. Elsewhere in the market, investors continue to take in stronger-than-expected earnings for the second quarter. Of the companies that have reported earnings so far, 81% are beating profit estimates by a median of 7%, Fundstrat data shows. On Thursday, markets will be watching for July's CPI reading which, combined with incoming labor market data, will help inform the Federal Reserve's next policy decision. Here's where US indexes stood shortly after the 9:30 a.m. opening bell on Tuesday: <ul><li><a href="https://markets.businessinsider.com/index/s&amp;p_500?utm_source=markets&amp;utm_medium=ingest%3Futm_source%3Dmarkets&amp;utm_medium=ingest&amp;utm_medium=ingest&amp;utm_source=markets">S&amp;P 500</a>: 4,485.31, down 0.74%</li></ul><ul><li><a href="https://markets.businessinsider.com/index/dow_jones?utm_source=markets&amp;utm_medium=ingest%3Futm_source%3Dmarkets&amp;utm_medium=ingest&amp;utm_medium=ingest&amp;utm_source=markets">Dow Jones Industrial Average</a>: 35,180.01, down 0.83% (293.12 points)</li></ul><ul><li><a href="https://markets.businessinsider.com/index/nasdaq_composite?utm_source=markets&amp;utm_medium=ingest%3Futm_source%3Dmarkets&amp;utm_medium=ingest&amp;utm_medium=ingest&amp;utm_source=markets">Nasdaq Composite</a>: 13,871.55, down 0.88% </li></ul>Here's what else is going on: <ul><li>Paypal's latest crypto play is a <a href="https://markets.businessinsider.com/news/currencies/paypal-crypto-launches-first-us-dollar-pegged-stablecoin-2023-8">stablecoin pegged to the US dollar</a>.</li><li>Hedge funds are being forced to cover their bearish bets <a href="https://markets.businessinsider.com/news/stocks/bearish-hedge-funds-blindsided-by-stock-market-rally-report-2023-8">with the stock market still surging.</a></li><li>Hindenburg has <a href="https://markets.businessinsider.com/news/stocks/worlds-richest-people-jack-dorsey-carl-icahn-gautam-adani-hindenburg-2023-8">fueled a massive wealth wipeout</a> for three of the world's richest men this year.</li><li>Shark Tank star Kevin O'Leary said the S&amp;P 500 will <a href="https://markets.businessinsider.com/news/stocks/stock-market-outlook-spx-chips-ira-inflation-debt-crunch-oleary-2023-8">surf a tidal wave of government spending</a>.</li><li>China's property sector is facing pain as <a href="https://markets.businessinsider.com/news/bonds/chinese-property-crisis-missed-bond-payments-economy-real-estate-2023-8">yet another developer reportedly runs into trouble</a>.</li><li>Goldman Sachs is <a href="https://markets.businessinsider.com/news/currencies/russia-goldman-sachs-36-million-assets-frozen-ukraine-war-2023-8">wrestling with sanctions fallout with Russia</a>. </li></ul>In commodities, bonds, and crypto: <ul><li>Oil prices dropped, with<a href="https://markets.businessinsider.com/commodities/oil-price?type=wti"> West Texas Intermediate</a> down 1.92% to $80.37 a barrel. <a href="https://markets.businessinsider.com/commodities/oil-price?utm_medium=ingest&amp;utm_source=markets">Brent crude</a>, the international benchmark, inched lower 1.83% to $83.76 a barrel.</li><li><a href="https://markets.businessinsider.com/commodities/gold-price?utm_source=markets&amp;utm_medium=ingest%3Futm_source%3Dmarkets&amp;utm_medium=ingest&amp;utm_medium=ingest&amp;utm_source=markets">Gold</a> edged lower 0.50% to $1,960 per ounce.</li><li>The<a href="https://markets.businessinsider.com/rates/u-s--rates-10-years?utm_medium=ingest&amp;utm_source=markets"> 10-year Treasury yield</a> fell eight basis points to 3.996%.</li><li><a href="https://markets.businessinsider.com/currencies/btc-usd?utm_medium=ingest&amp;utm_source=markets">Bitcoin</a> moved higher 1.38% to $29,465.01.</li></ul>

US stocks drop as bank shares slide after Moody's downgrades 10 firms

Moody's Analytics on Tuesday said <keyword id="3658" type="General" weightage="80" keywordseo="india" source="Orion">India</keyword>'s domestic economy, rather than trade, is its primary engine of growth and the slowdown in economic activity late last year will only be temporary. The government data released last week showed India's gross domestic product (GDP) growth slowed to a three-quarter low of 4.4 per cent in October-December,2022, mainly due to a contraction in manufacturing and low private consumption expenditure. While the manufacturing sector contracted by 1.1 per cent, private consumption expenditure slowed to 2.1 per cent in the October-December quarter of the current fiscal. In its report on emerging market outlook, Moody's Analytics said growth slowed substantially on a year-ago basis, with private consumption lagging overall GDP for the first time since the <keyword id="6383835" type="General" weightage="50" keywordseo="delta" source="Orion">Delta</keyword> wave of Covid-19 struck the economy in the second quarter of 2021. "Our take is that the slowdown late last year will be temporary and even salutary, helping to wring some of the demand-side pressures out of the economy without stopping it wholesale. On the external front, better growth in the US and <keyword id="28249" type="General" weightage="50" keywordseo="europe" source="Orion">Europe</keyword>'s incipient recovery will propel India at the mid-year mark," it said. The US and Europe are India's largest trade partners and are important destinations for exports of business services. The slowdown in GDP growth in the December quarter was stark when compared to 11.2 per cent growth in the same quarter of last fiscal. In the current fiscal, the economy grew 13.2 per cent in the April-June quarter and 6.3 per cent in the July-September quarter. Moody's Analytics said India's domestic economy, rather than trade, is its primary engine, in contrast to most other emerging-Asia economies. "With this in mind we observe India's fourth-quarter performance with caution," it said. Sectors such as manufacturing and agriculture that are highly linked to private consumption spending either contracted or barely grew during the December quarter of the current fiscal. The normally faster-growing construction and retail and wholesale trade sectors came in somewhat hotter, though both lagged gains from earlier this year. "While high-interest rates have slowed the domestic economy and curbed imports, external imbalances have widened, putting pressure on the rupee and adding to inflation," Moody's Analytics noted. In the current fiscal (2022-23), the GDP is projected to grow by 7 per cent as per official estimates. This would require about a 5 per cent GDP expansion in the fourth (January-March) quarter. In 2021-22 the economy grew 9.1 per cent. In 2020-21 (The covid-impacted year), the economy contracted 5.8 per cent, while in 2019-20 the growth was 3.9 per cent. SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/science/health/news/silicon-gold-and-copper-could-help-fight-covid-19-says-an-australian-study/articleshow/98475233.cms">Silicon, gold and copper could help fight Covid-19 says an Australian study</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/entertainment/news/from-raazi-to-mardaani-all-the-times-a-woman-shouldered-a-bollywood-film-to-success/slidelist/98452356.cms">From Raazi to Mardaani: All the times a woman shouldered a Bollywood film to success</a>

Slowdown in GDP growth late last year temporary: Moody's Analytics

<ul><li>There is a wide divergence in market consensus regarding Q2 GDP numbers to be released on November 30, said SBI Ecowrap. </li><li>On Monday, rating agency <a href="https://www.businessinsider.in/india/news/sp-cuts-indias-growth-forecast-to-7-for-fy23/articleshow/95821441.cms">Standard &amp; Poor’s </a>shared that it now expects India’s GDP to grow at 7% for FY23 as compared to the 7.3% it had estimated earlier. </li><li>India’s growth momentum will be affected by the fading effects of post-Covid reopening, coupled with higher borrowing costs, as per <keyword id="6361649" type="General" weightage="80" keywordseo="goldman-sachs" source="Orion">Goldman Sachs</keyword>. </li></ul>SBI Ecowrap has pegged India’s GDP growth rate for Q2 FY23 at 5.8%, much lower than the RBI’s estimate of 6.3%. The research report which was released late Monday, also said that this growth is shrouded in significant uncertainties. “There is a wide divergence in market consensus regarding Q2 GDP numbers to be released on November 30. Consensus estimates are at 6.1%. A range of 5.6%-6% is better than a point estimate,” the report said, which is using a new model to predict how the economy is growing, with a lag. As per its estimates of Q2 growth, its fiscal year growth estimates too stand at 6.8%, as compared to the popular consensus of 7%. “Overall, a sub 6% growth if it materialises in Q2, could imply that India is likely to have expanded at lower than the 7% benchmark. We however believe there is somehow a large disconnect between leading indicators and GDP growth since the onset of pandemic. Growth impulses continue to be strong and it may be better to look through the GDP headline numbers for a couple of quarters before arriving at a definitive conclusion about the growth trajectory,” said SBI Ecowrap. SBI’s commentary is in contrast to ICRA’s Q2 growth predictions that came on November 21, which pegs Q2 growth at 6.5% – half of the growth seen in Q1, but also ahead of RBI estimates. While the first quarter of FY23 exhibited double digit growth at 13.5%, it had missed estimates, sending many agencies to recalibrate their projections of the year. Apart from SBI and Citibank, RBI too had changed its annual growth estimates - leading many agencies to follow suit. On Monday, rating agency <a href="https://www.businessinsider.in/india/news/sp-cuts-indias-growth-forecast-to-7-for-fy23/articleshow/95821441.cms">Standard &amp; Poor’s </a>now expects India’s GDP to grow at 7% for FY23 as compared to the 7.3% it had estimated earlier. CRISIL estimates mirror S&amp;P’s – as it lowered from 7.3% to 7% – but over a week ahead of S&amp;P. CRISIL also expects FY24 growth to slow down further to 6%. Giving an early view of India’s pace of growth is export data. Hit by a global slowdown, Indian exports for the month of October shrunk by 16.6% to $29.78 billion as compared to last year, according to the Commerce Ministry. Imports grew by 5.5%, widening India’s trade deficit. Goldman Sachs believes 2023 will be tougher Goldman Sachs, which provides estimates for calendar years as opposed to fiscal years, which believes the pace of growth will slowdown in 2023. A couple of weeks back, it slashed GDP growth expectations to 5.9% next year, as compared to the 6.9% growth of 2022. India’s growth momentum will be affected by the fading effects of post-Covid reopening, coupled with higher borrowing costs, as per Goldman Sachs. “Growth will likely be a tale of two halves, with a slower first half as the reopening boost fades, and monetary tightening weighs on domestic demand. In the second half, growth is likely to re-accelerate as global growth recovers, drag from net exports diminishes, and investment cycle picks up,” said Goldman Sachs per a <a href="https://economictimes.indiatimes.com/news/economy/indicators/goldman-sachs-slashes-indias-gdp-forecast-for-2023-to-5-9/articleshow/95651040.cms">Bloomberg report</a>. Goldman Sachs expects the <keyword id="11929899" type="General" weightage="20" keywordseo="global-economy" source="Orion">global economy</keyword> to grow at 1.8%, as US resilience contrasts with a European recession, and a bumpy reopening in China. “Global growth slowed through 2022 on a diminishing reopening boost, fiscal and monetary tightening, China’s Covid restrictions and property slump, and the Russia-Ukraine war,” said a redacted version of Goldman Sachs report on November 16. In the second week of November, Moody’s too cut its <keyword id="162607" type="General" weightage="20" keywordseo="india-gdp-growth" source="Orion">India GDP growth</keyword> forecast for 2022 to 7% from its earlier estimates of 7.7%. The <a href="https://economictimes.indiatimes.com/news/economy/indicators/moodys-cuts-2022-growth-forecast-for-india-to-7/articleshow/95445091.cms">rating agency has cited rising inflation</a> coupled with high interest rates and a slowing global economy as the reasons behind the same. However, Moody’s pegged India’s GDP growth rate at 4.8% for 2023 – much lower than that of Goldman Sachs’ report. SEE ALSO <a href="https://www.businessinsider.in/india/news/exports-shrink-by-16-6-to-29-78-bn-in-oct/articleshow/95532058.cms">Exports shrink by 16.6% to $29.78 bn in Oct</a> <a href="https://www.businessinsider.in/india/news/sp-cuts-indias-growth-forecast-to-7-for-fy23/articleshow/95821441.cms">S&amp;P cuts India's growth forecast to 7% for FY23</a>

No end to downgrades in GDP estimates as economists remain divided on severity of slowdown

<ul class="summary-list"><li>Restarting student loan payments will further squeeze consumers, Moody's chief economist told CNBC. </li><li>Mark Zandi said restarting the payments will weigh on the economy at a particularly bad time.</li></ul>Restarting student loan payments at the end of summer will force some consumers already feeling the pinch to rein in their spending and weigh on the overall economy, the chief economist of Moody's Analytics warned.About 20 million student loan borrowers will have to start making contributions when President Joe Biden's pause on higher-education loan payments ends in August, Mark Zandi <a href="https://www.cnbc.com/video/2023/05/30/lifting-pause-on-student-debt-repayments-will-hit-consumer-spending-says-moodys-mark-zandi.html" target="_blank" rel="noopener">told CNBC</a> on Tuesday. He estimated that the average payment would be about $250 a month.While Zandi doesn't think a US recession is likely, he said the repayments would shave a couple of tenths of a per cent off GDP over the coming year. "In a more typical time, that's not really that big a deal. The economy can digest that gracefully. But in the current environment with the economy as weak as it is, recession risks as high as they are, a couple of tenths of a percent can matter," Zandi told CNBC. "I don't think that this is what's going to push us in, but it's certainly a weight in a pretty significantly inopportune time," he added. Student loan-related obligations have been paused since the start of the pandemic but the moratorium is set to end soon following the tentative debt ceiling deal. Payments would restart in late August if the deal is passed by Congress, or two months after the US Supreme Court makes a decision on Biden's debt-forgiveness — whichever comes first. Zandi told CNBC some borrowers might not be able to make the payments because they've adjusted their spending based on having more cash over the past three years. "They're going to have to face some hard choices here. What do I do? Do I stop paying on my credit card? Am I late on my rent payment? It's just going to increase the kind of juggling that people are going to have to do," he said.

Restarting student loan payments will squeeze some consumers already feeling the pinch, warns Moody's chief economist

<ul class="summary-list"><li>A Republican proposal to lift the debt ceiling would make a recession more likely, said Moody's chief economist Mark Zandi.</li><li>Under the GOP bill, economic growth would slow to 1.61% by the end of 2024, he told lawmakers.</li></ul>A Republican proposal to lift the debt ceiling would slow the economy and increase the likelihood of a recession, Moody's Analytics chief economist Mark Zandi said.House Speaker Kevin McCarthy has offered a <a href="https://www.businessinsider.com/mccarthy-debt-ceiling-bill-passes-house-gets-enough-gop-support-2023-4?utm_medium=ingest&amp;utm_source=markets" rel="">bill to lift the debt ceiling</a> in exchange for cuts to government spending of about 8% next year, and a cap on its growth of 1% each year after that.Speaking to the Senate Budget Committee on Thursday, Zandi <a href="https://www.reuters.com/world/us/amid-us-debt-ceiling-standoff-senate-democrats-dissect-republican-plan-2023-05-04/" target="_blank" rel="noopener">warned</a> that the proposed reductions could reduce employment by the end of 2024 by about 800,000 jobs and lift the jobless rate closer to 5% from 3.5% now.Also by 2024, economic growth would slow to 1.61% under the Republican bill, compared to current forecasts of 2.23%, he said, adding that the GOP deal would "meaningfully increase" the likelihood of a recession.He also estimated that the Treasury is most likely to run out of cash by June 8 — though anytime between June 1 and August 8 is possible."We need to end this drama as quickly as possible," Zandi said. "If we don't, we'll go into a recession and our fiscal problems will be made even worse."Treasury Secretary Janet Yellen has said the government could <a href="https://www.businessinsider.com/janet-yellen-debt-ceiling-government-run-out-money-june-1-2023-5?utm_medium=ingest&amp;utm_source=markets" rel="">run out of money and trigger an economic crisis as soon as June 1</a>.The GOP bill is unlikely to pass in the Democrat-controlled Senate, extending a partisan deadlock that began when the $31.4 trillion debt was reached in January.The White House has said it will not accept spending cuts as a condition for raising the debt ceiling and is pushing for a "clean" bill instead.But President Joe Biden is scheduled to meet with McCarthy and other top lawmakers at the White House on Tuesday.Zandi has previously warned that allowing a US default to happen would create a financial crisis similar to that of 2008. He has also <a href="https://www.businessinsider.in/stock-market/news/minting-a-1-trillion-coin-may-be-legal-but-is-an-unworkable-option-to-avoid-a-catastrophic-us-debt-default-moodys-analytics-chief-economist-says/articleshow/98484353.cms" target="_blank" rel="noopener">thrown doubt</a> on work-arounds in case the debt limit isn't lifted, such as minting a $1 trillion dollar coin or invoking the 14th Amendment. Failure to lift the debt ceiling would devastate stocks and bonds, even if the US government prioritized payments to stave off an immediate default, former New York Fed President Bill Dudley wrote in a <a href="https://www.bloomberg.com/opinion/articles/2023-05-02/this-debt-limit-standoff-could-be-really-disastrous" target="_blank" rel="noopener nofollow">Bloomberg column</a> this week."I have one message for those observing or involved in the standoff over raising the US federal debt limit: Be afraid, be very afraid," he said. "At this point in the financial and economic cycle, the consequences of failing to reach a deal would be particularly dire."

A recession is more likely under the Republican debt-ceiling plan, Moody's chief economist warns

<ul><li>India’s <keyword id="44910" type="General" weightage="20" keywordseo="gdp-growth" source="Orion">GDP growth</keyword> for the April-June quarter came below estimates at 13.5% percent.</li><li>Rating agencies have trimmed their annual growth rate projections after the quarterly data was released by the government.</li><li>"We strongly believe that the estimation of manufacturing sector growth needs serious introspection in the sense that IIP is still indexed at 2012 base,” said SBI Ecowrap.</li><li>Analysts are worried that organizations may not go through with all the capex plans that they have announced.</li></ul>The GDP growth rate for the April-June quarter which came in at 13.5%, fell short of expectations. As a result, rating agencies already lowered their annual estimates, yet again. Most of the forecasts now believe that Indian GDP will grow at 7% or below. The Reserve Bank of India however believes that it will grow at 7.2%. SBI Ecowrap trimmed its estimates as it had expected April-June GDP to grow at 15.7%. "We strongly believe that the estimation of manufacturing sector growth needs serious introspection in the sense that IIP is still indexed at 2012 base," the report said. In addition to SBI Ecowrap, Citibank and Goldman Sachs too trimmed their projections. “Rising interest rates, uneven distribution of monsoons and slowing global growth will dampen economic momentum,” said Moody’s yesterday. It cut calendar year 2023 growth rate projections to 5.2%. This is the second round of trimming by agencies after seven of them slashed their growth rate projections after the Jan-Mar quarter data was released by the government. New set of downgrades <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;"></colgroup><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Institution </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">GDP forecast cut FY23 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Earlier projection </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">SBI </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">6.8% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">7.5% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Citibank </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">6.7% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">8% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Goldman Sachs </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">7% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">7.2% </td></tr></tbody></table> A lot has changed since the beginning of the year as many agencies hoped that <keyword id="113229" type="General" weightage="20" keywordseo="india-gdp" source="Orion">India GDP</keyword> growth would be above 7%. A big jolt to this belief came this May itself when the following projections have been trimmed. Downgrades after Jan-Mar quarter GDP data release <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;"></colgroup><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Institution </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">GDP forecast cut FY23 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Earlier projection </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Moody’s </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">5.2% (Calendar year 2023) </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">5.4% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">YES Bank </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">6.9% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">7% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">International Monetary Fund (IMF) </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">7.4% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">8.2% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Nomura </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">4.7% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">5.4% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">FICCI </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">7% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">7.4% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Asian Development Bank </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">7.2% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">7.5% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">CRISIL </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">7.3% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">7.8% </td></tr></tbody></table> High inflation rate is worrying most analysts. “Growth challenges are likely to remain in FY23 and the K-shaped recovery is expected to continue. While many remain hopeful of a recovery in private sector capex, we remain skeptical as recent RBI data indicates that even as the number of projects announced for FY23 are higher than the previous year, the expected cumulative spend remains lower than the pre-pandemic levels,” said a report by YES Bank on August 31. Most analysts are worried that organizations may not go through with all the high capex plans that they have announced. They maintain a bias towards more downward revisions unless domestic inflation moderates or global commodity prices cool meaningfully. “Overall, it confirms that growth recovery is not so strong in India. It ideally implies that monetary tightening should not be very aggressive. However, it appears that the terminal repo rate will be 5.75-6% in this cycle with one or two more rate hikes, ending the cycle in December 2022,” said Nikhil Gupta, chief economist at Motilal Oswal Financial Services group. SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/india/news/laxman-narasimhan-named-as-the-ceo-of-coffee-chain-starbucks/articleshow/93939910.cms">Laxman Narasimhan named as the CEO of coffee chain Starbucks</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/business/corporates/news/recession-in-the-us-may-cool-off-attrition-in-it-sector-along-with-revenues/articleshow/93942471.cms">Recession in the US may cool off attrition in IT sector along with revenues</a>

Rating agencies revise GDP growth estimates yet again, most now peg it below 7%

<ul class="summary-list"><li>The Fed is putting the economy at risk by not prioritizing bank stability, Moody's Mark Zandi said.</li><li>He said the Fed's 25-basis-point rate hike added to tighter credit conditions at banks.</li></ul>The Fed isn't prioritizing the stability of the US banking system – and that's putting the economy in jeopardy, according to Moody's chief economist Mark Zandi.In an interview with <a href="https://www.youtube.com/watch?v=F7MZKCci7Ds&amp;ab_channel=CNBCTelevision" target="_blank" rel="noopener">CNBC</a> on Thursday, estimated that tighter credit conditions since the collapse of Silicon Valley Bank are equivalent to two or three 25-basis-point interest rate hikes. On top of that, central bankers raised benchmark rates another 25-basis-points at their policy meeting Wednesday."That puts the federal effective funds rate target closer to 6%. I think that's a pretty significant increase in interest rates, and I do think that puts the economy in jeopardy," Zandi warned. The fed funds rate is now officially targeted between 4.75-5%, after central bankers had already hiked rates 1,700% over the last year in order to control inflation.But that created massive losses in banks' bond portfolios, which triggered SVB's failure and put other regional banks under pressure from depositors seeking safety in bigger lenders.Market commentators like <a href="https://markets.businessinsider.com/news/stocks/krugman-economist-banking-crisis-recession-fed-interest-rates-financial-crisis-2023-3">Paul Krugman</a> and <a href="https://markets.businessinsider.com/news/stocks/bill-ackman-fed-interest-rates-pause-banking-crisis-inflation-2023-3">Bill Ackman</a> had urged the Fed to pause or pull back its rate hiking regime altogether as worries about the banking system have spiraled. Zandi also believed Fed officials should have paused rates at their last policy meeting, in order to examine the full effects of the banking crisis on the economy."The first priority has got to be the stability of the banking system, and of course they did not do that, and I do think they're running a risk here," he said.

The Fed is putting the economy in jeopardy by not prioritizing the stability of the banking system, Moody's chief economist says

Moody's on Friday slashed <keyword id="3658" type="General" weightage="50" keywordseo="india" source="Orion">India</keyword>'s GDP growth projection to 7 per cent for 2022, saying that global slowdown and high domestic interest rates would dampen economic momentum. This is the second time in as many months that Moody's Investors Service has cut India's growth estimates for 2022. In September, it had cut the projection for the year to 7.7 per cent from 8.8 per cent pegged in May. "For India, the 2022 real GDP growth projections have been lowered to 7 per cent from 7.7 per cent. The downward revision assumes higher inflation, high-interest rates and slowing global growth will dampen economic momentum by more than we had previously expected," said the Global Macro Outlook 2023-24. Moody's expects growth to decelerate to 4.8 per cent in 2023 and then to rise to 6.4 per cent in 2024. The Indian economy grew 8.5 per cent in the 2021 calendar year, according to Moody's. As per official GDP estimates, the economy expanded 13.5 per cent in April-June 2022-23, higher than the 4.10 per cent growth clocked in January-March. GDP figures for the September quarter would be released at the end of this month. Moody's said the weakening of the rupee and high oil prices continue to exert upward pressures on inflation, which has remained above the <keyword id="30067" type="General" weightage="50" keywordseo="rbi" source="Orion">RBI</keyword>'s tolerance level of 6 per cent for much of this year. Retail inflation increased to 7.41 per cent in September, while wholesale inflation remained in double-digit for the 18th straight month at 10.7 per cent. The central bank has hiked interest rates by 190 basis points between May and September to 5.90 per cent to contain inflation. Moody's expects the RBI to raise the repo rate by another 50 basis points or so as part of its objective to tame inflation and support the exchange rate. Eventually, the RBI will likely shift from inflation management to growth considerations, provided that the rate increase has the desired effect of taming inflation, it said. Moody's joins a host of agencies which have slashed India's economic growth projections for the current fiscal year (April-March) citing a slowdown in the global economy, the Russia-Ukraine war, rising interest rates and inflation. While the <keyword id="6354424" type="General" weightage="50" keywordseo="world-bank" source="Orion">World Bank</keyword> has revised down its growth estimate for India by 100 basis points to 6.5 per cent, IMF has trimmed it to 6.8 per cent from 7.4 per cent. The Asian Development Bank too has cut its projection to 7 per cent, from 7.5 per cent earlier. S&amp;P Global Ratings revised its growth forecast to 7.3 per cent for the current fiscal year from 8.7 per cent. The RBI expects economic growth at 7 per cent for this fiscal year. Moody's said the underlying growth dynamics are fundamentally strong, boosted by a rebound in services activity. Government capital expenditure and manufacturing capacity utilization have also improved. September exports are down from the peak in March, but they are still around 30 per cent above the pre-pandemic level. Non-food credit growth shows solid momentum, it said. The private sector is now well-positioned to increase capex spending. Also, the <keyword id="8940266" type="General" weightage="50" keywordseo="production-linked-incentive-scheme" source="Orion">Production Linked Incentive Scheme</keyword> to attract investment in 14 key manufacturing sectors is showing results, the rating agency noted. "While these domestic strengths will continue to support the domestic growth narrative, global financial tightening and slowing external demand will pose downward pressure on growth in 2023," Moody's said. It said several mitigating factors will support growth in large emerging market economies. Domestic pent-up demand will continue to support reopening momentum. Services activity has rebounded strongly in countries, including India. "With demand in G-7 (group of 7 developed nations) countries weakening, large domestically driven emerging economies such as India and Brazil will likely be less vulnerable to slowing trade growth than will export-oriented countries," it added. Moody's said the global economy is on the verge of a downturn amid extraordinarily high levels of uncertainty amid persistent inflation, monetary policy tightening, fiscal challenges, geopolitical shifts and financial market volatility. Global growth will slow in 2023 and remain sluggish in 2024. Still, a period of relative stability could emerge by 2024 if governments and central banks manage to navigate their economies through the current challenges, Moody's added. It projected the GDP growth of G-20 economies to decelerate to 1.3 per cent in 2023, significantly lower than its previous estimate of 2.1 per cent. SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/stock-market/news/medanta-hospitals-operator-global-health-to-announce-allotment-today-heres-how-you-can-check-allotment-status/articleshow/95436354.cms">Medanta Hospitals operator Global Health to announce allotment today, here’s how you can check allotment status</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/cryptocurrency/news/crypto-exchange-coinbase-to-lay-off-more-employees-amid-ftx-saga/articleshow/95444070.cms">Crypto exchange Coinbase to lay off more employees amid FTX saga</a>

Moody's cuts India's growth projection for 2022 to 7% on global slowdown, rising rates

<ul class="summary-list"><li>The Fed shouldn't risk an economic slump in order to lower inflation to its 2% target, Moody's chief economist said.</li><li>Mark Zandi thinks the US central bank will likely pause its interest-rate increases at this month's review. </li></ul>The Federal Reserve shouldn't risk an economic downturn to lower inflation to its 2% target, and will likely pause its interest-rate increases this month, according to Moody's Analytics chief economist Mark Zandi.The US central bank is set to review rates next at a June 13-14 meeting, after raising them by 500 basis points since the first quarter of 2022. Money-market prices suggest a majority of investors expect the institution to leave borrowing costs on hold next week amid growing concerns about an economic slump."The Fed appears set to pause its rate hikes at its upcoming meeting. Thank goodness. Economic growth is fragile, the strong May payroll job gain notwithstanding. Hours worked are falling, so despite all the jobs, aggregate hours worked have gone nowhere this year," Zandi <a href="https://twitter.com/Markzandi/status/1665319778636947457" target="_blank" rel="noopener">tweeted</a> on Sunday. The latest labor-market data <a href="https://www.businessinsider.com/unemployment-rate-labor-market-job-growth-may-jobs-report-2023-5?utm_medium=ingest&amp;utm_source=markets">showed US employers added 339,000 jobs in May</a>, blowing past market estimates of 180,000. The red-hot reading could complicate the Fed's approach toward combating inflation, but it was tempered by slower wage gains and an increase in unemployment to 3.7% in May from April's 3.4%. "The tight labor market is easing. Hiring is back to its pre-pandemic pace, layoffs are normalizing, and workers are no longer quitting their jobs at an extraordinary pace. Wage growth has rolled over. There are still lots of open positions, but I suspect they are soft opens," Zandi said. The ongoing stress in the banking industry is another factor that should convince the Fed to pause, he said. Government actions have curtailed a further deposit run on the sector, but Zandi maintained that the system remains "fragile" and depositors are still "on edge" as they continue to move their cash into money-market funds. Zandi has <a href="https://markets.businessinsider.com/news/stocks/fed-interest-rate-hikes-inflation-mark-zandi-2023-5?_gl=1*957qm1*_ga*NjA1MDkxMDc4LjE2ODU5NDg2MTI.*_ga_E21CV80ZCZ*MTY4NTk0ODYxMi4xLjEuMTY4NTk1NTUzNi4zOS4wLjA.">previously said that he's confident inflation</a> will fall to the Fed's 2% target by May next year, from 4.9% in April. "Why should the Fed sacrifice the economy to the altar of a 2% inflation target (closer to 2.5% for CPI), when most Fed officials probably think a 3% target makes more sense? The zero lower bounds is too close at 2%. They wouldn't (shouldn't) let on they have this view, but…," he added in the Twitter thread Sunday.

The Fed shouldn't 'sacrifice the economy' in order to reach its 2% inflation target, Moody's chief economist says

<ul class="summary-list"><li>El Salvador's credit risk may increase if it continues buying up <keyword id="11893902" type="UNKNOWN" weightage="60" keywordseo="bitcoin" source="Orion">bitcoin</keyword>, <keyword id="12116920" type="UNKNOWN" weightage="60" keywordseo="moodys" source="Orion">Moody's</keyword> told Bloomberg.</li><li>The ratings agency downgraded the country's credit to "very high risk" of default in July.</li><li>El Salvador may have lost $10 million in the recent cryptocurrency rout, Bloomberg estimated.</li></ul>El Salvador's bitcoin buying spree may boost the country's credit risk if it continues, according to <a href="https://www.bloomberg.com/news/articles/2022-01-13/bitcoin-trades-add-to-el-salvador-sovereign-risk-moody-s-says?sref=f8taTPHn">ratings agency Moody's</a>.The country's government, <a href="https://markets.businessinsider.com/news/currencies/el-salvador-president-nayib-bukele-bitcoin-purchase-channels-meme-energy-2021-12">led by President Nayib Bukele</a>, has had liquidity issues in the past, making trading bitcoin "quite risky," Moody's analyst Jaime Reusche told Bloomberg in an interview.El Salvador has about 1,391 bitcoins in its coffers, according to a Bloomberg analysis, and "if it gets much higher, then that represents an even greater risk to repayment capacity and the fiscal profile of the issuer," Reusche said. Moody's did not immediately respond to Insider's request for comment.El Salvador has an $800 million bond maturing in January 2023, Bloomberg said. In July last year, <a href="https://www.moodys.com/research/Moodys-downgrades-El-Salvadors-rating-to-Caa1-maintains-negative-outlook--PR_450956">Moody's downgraded</a> the country's credit rating to CAA1, meaning it has a very high risk of default on its loans. The ratings agency cited a "challenging redemption schedule" and "a deterioration in the quality of policymaking," as part of its reasoning for the downgrade. Last year, the country made bitcoin a <a href="https://markets.businessinsider.com/news/currencies/bitcoin-outlook-el-salvador-president-nayib-bukele-100000-price-100k-2022-1">legal form of tender</a>, and announced in November it would launch a $1 billion, 10-year <a href="https://markets.businessinsider.com/news/currencies/el-salvador-bitcoin-bond-special-dividend-bitcoin-city-president-bukele-2021-11">bitcoin bond</a> via Blockstream.Those <keyword id="11893898" type="UNKNOWN" weightage="60" keywordseo="crypto" source="Orion">crypto</keyword> bonds could help the country pay off its debt, Moody's told Bloomberg, but "unless Bitcoin bonds are very well received and oversubscribed, we are seeing that the probability of the need to restructure their traditional market bonds is increasing."Cryptocurrencies have largely been in a rout recently, following a hawkish report from the US Federal Reserve. As of 8:50 a.m. in New York Friday, bitcoin traded at $42,283.80; that's an approximate 40% drop from its high last year of $69,000. President Bukele is now known for trading the cryptocurrency on his phone, and the recent sell-off may have cost El Salvador an approximate <a href="https://markets.businessinsider.com/news/currencies/el-salvador-bitcoin-price-loss-crypto-sell-off-nayib-bukele-2022-1">$10 million</a> on its bitcoin holdings, Bloomberg estimated previously. Even so, the actual performance of El Salvador's crypto portfolio is unknown as it's not publicly available.

You Searched For "moody s estimate" and got 11 results

Hurricane Milton is headed right into $1.1 trillion worth of commercial real estate properties: Moody's

Aditi Bharade

US stocks drop as bank shares slide after Moody's downgrades 10 firms

Phil Rosen

Slowdown in GDP growth late last year temporary: Moody's Analytics

PTI

No end to downgrades in GDP estimates as economists remain divided on severity of slowdown

Katya Naidu

Restarting student loan payments will squeeze some consumers already feeling the pinch, warns Moody's chief economist

Zinya Salfiti

A recession is more likely under the Republican debt-ceiling plan, Moody's chief economist warns

Filip De Mott

Rating agencies revise GDP growth estimates yet again, most now peg it below 7%

Bhakti Makwana

The Fed is putting the economy in jeopardy by not prioritizing the stability of the banking system, Moody's chief economist says

Jennifer Sor

Moody's cuts India's growth projection for 2022 to 7% on global slowdown, rising rates

PTI

The Fed shouldn't 'sacrifice the economy' in order to reach its 2% inflation target, Moody's chief economist says

Zinya Salfiti

El Salvador's bitcoin buying spree boosts its risk of default, rating agency Moody's warns

Natasha Dailey

Popular Keywords

Buying Guides