Fed’s Next Rate Move Will Be a Cut, Says Matthews Asia’s Kong

The video discusses the current state of the treasuries market, highlighting its overbought condition and potential reversal in yields. It emphasizes the influence of global PMI on the US Treasury market, suggesting a possible Fed rate cut. The impact of trade tensions, particularly between the US and China, is explored, noting potential risks to corporate earnings. The video concludes with a positive outlook for India's economy, citing strong currency and credit conditions.

What is a significant driver of the 10-year U.S. Treasury market according to the transcript?

• Federal Reserve policies

• U.S. stock market performance

• Global PMIs

• U.S. GDP growth

What is the likely next move by the Fed according to the discussion?

• Maintain current interest rates

• Cut interest rates

• Introduce new monetary policies

• Increase interest rates

What phase has the trade war between the U.S. and China moved into?

• Currency manipulation

• Diplomatic negotiations

• Market access

• Tariff imposition

What could be a consequence of the U.S. banning Microsoft Windows in China?

• Increase in Chinese exports

• Blackout of many PCs in China

• Rise in U.S. corporate earnings

• Improved U.S.-China relations

What is President Trump considering regarding India's trade status?

• Signing a new trade agreement with India

• Removing India's developing nation status

• Increasing tariffs on Indian goods

• Granting India developed nation status

What is one reason for the positive outlook on the Indian rupee?

• Rising oil prices

• High inflation rates

• Strong mandate for Modi

• Decreasing foreign investments

What challenge is faced by non-bank financial institutions in India?

• High interest rates

• Liquidity squeeze

• Excessive foreign competition

• Regulatory hurdles