Global markets are awaiting interest rate cuts in America and Europe amid declining oil prices and currency fluctuations

My Country Press – International Economy |Global stock exchanges and financial markets are awaiting the upcoming monetary decisions of the US Federal Reserve and the European Central Bank, in light of increasing indications of a slowdown in inflation rates in major economies and a decline in crude oil prices in international markets.

Expected positive repercussions on emerging markets and the energy bill

Financial analysts believe that the major central banks’ move towards easing monetary policy and reducing the cost of borrowing will have several direct effects on international trade:

• Declining cost of international financing:Reducing interest rates in dollars and euros contributes to reducing the cost of servicing external debt and financing major investment projects in emerging countries.
• Stability of oil and fuel prices:Brent crude oil recorded a relative decline due to the abundance of global supply, which reduces pressure on the trade balance of energy-importing countries.
• Investors’ demand for gold:The yellow metal maintained its appeal as a safe haven for central banks and investors in the face of global geopolitical fluctuations.