The US Federal Reserve’s dovish signal has come as a shot in the arm for global equity markets as investors are bracing for three interest rate cuts in 2024. The Reserve Bank of India (RBI) is expected to follow suit with concurrent rate cuts, said Emkay Global Financial Services. While equity investors are currently euphoric, the historical trend varies. Emkay’s analysis shows that the initial leg of rate-cut cycles by the RBI has had mixed results for equities (Nifty) over the last 15 years.
