FinTech Today

Read Time: 4 mins Amid the pandemic of the coronavirus, we are all aware the economy is falling across all regions of the world and the world is currently under chaos and the economic downfall can be well explained by the healthcare issues we are facing. But the question remains, are we going to see a recession? A quick spoiler - this blog doesn't have a definite answer to that but it'll help you understand the probability of it happening over the next few weeks. First of all, let's understand how and when do we officially term that a recession has come and who defines that? A recession is a significant decline in general economic activity of a region. This macroeconomic term is typically recognized as two consecutive quarters of economic decline, this decline is reflected by GDP in conjunction with monthly indicators such as a rise in unemployment. The National Bureau of Economic Research (NBER) is the one that officially declares recessions. However, the NBER def...

Read Time: 4 mins As we all know amid the coronavirus crisis, the USA has cut the Fed rate to 0% to increase liquidity and furthermore to prevent the market to fall, whose probability currently stands at more than 50%. Let's have a look at what the current scenarios are in the global market and let's understand what this rate cut from the very basics. Market Volatility  Currently, the market stands at a very thin rope and can head to any direction based on the changes in the global circumstances. In brief, the factors such as the pandemic coronavirus, the oil price war between Russia and OPEC, the conflicts between US and Mexico, the Isreal-Palestine issue and many more stand as the core reason behind such volatility in the market and especially the lockdowns due to Coronavirus is affecting a lot of markets globally. To understand more about the factors affecting the market, I'll suggest a read to this blog on "Why the market is plunging" .  With such ...