Federal Bank hopes 15-20% growth in advances up coming fiscal 22 feb

Federal Bank : With its larger peers busy in cleaning up their balance sheets, South-based private sector lender Fed Bank is looking at it as an opportunity to increase business & expects 15-20 per-cent credit growth in the up coming financial year.Click for Commodity tips

At a time when some of the large and medium-sized banks are going through stress, with their focus more on getting their consolidation & act right, it opens up a remarkable space & opportunities for us," Fed Bank MD & CEO Shyam Srinivasan told in reports.

In a move to clean up bank's books, the Reserve Bank has questioning lenders to identify some huge accounts which are under stress, classify them as NPA and make adequate provision for them. Following this asset quality review, many of the public and private sector banks have reported dip in their profits or losses in the Q3(3rd quarter) of 2015-16. Our Country's largest lender State Bank of India reported 62 per-cent decline in profit to Rs 1,115 crore in the 3rd quarter from Rs 2,910 crs. The 2nd largest lender, Bank of Baroda , showed the highest-ever quarterly loss at Rs 3,342 crs for the quarter.

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World Wide : Downturn spurred Fed to consider changing rate path 18 Feb

Federal Reserve : The policymakers worried on previous month that a world wide slowdown and financial market selloff could hurt the economy of US & considered changing the central bank's planned interest rate lift path for 2016. Click for Free stock tips Although most of the policymakers yet expected to raise rates current year & even discussed a hike at the Jan 26-27 policy meeting, they were divided over how to interpret the financial market volatility, in accordance with the minutes from the meeting released on yesterday.

That suggested "Federal Reserve" was backing away from the four rate increase that were signalled for current year in the month of December, when it increase rates for the very 1st time in nearly a decade. The policymakers discussed "altering their earlier views of the appropriate path for the target range for the federal funds rate," but most judged it "premature" to make big changes to their outlook, according to the minutes.

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OMG ! Federal Increase rate by 25 bps 17 Dec, 2015

 

FOMC -  Closing months of speculation, observation and for the 1st time in the decade, the US Fed Reserve's rate-setting Fed Open Market Committee (FOMC) increased its Fed Funds Rate by 25 basis pts from the 0-0.25 per-cent range to a target of 0.25-0.5 per-cent.

The historical shift, anticipated for over a year, marks the exit of the zero interest rate policy, which had been into place in the wake of the financial crisis of 2008 year. The result comes on the back of some particularly powerfull macroeconomic data emerging out biggest economy of the world:given the backdrop of slow growth world wide, which is showing in the current commodity slump, the worst since the 2008 crisis.

Experts, moreover, say that more than today's rate increase, the Fed's monetary policy course through the next year will be more important -- in that, how many, if any, further rate hikes can be estimated in 2016.

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