Global Markets Unsettled Ahead of Federal Reserve's Crucial Meeting

Global markets saw fluctuations on Friday with MSCI's equity index sliding and U.S. Treasury yields climbing, as investors eagerly awaited signals from the upcoming Federal Reserve meeting on interest rate plans. Wall Street saw declines, and global currencies showed mixed reactions with the dollar strengthening on economic data.

On Friday, global markets experienced uncertainty, marked primarily by a drop in MSCI's global equity index, as investors looked forward to insights from the U.S. Federal Reserve's forthcoming meeting concerning interest rates.

The anticipation of potential policy changes saw an uptick in U.S. Treasury yields, with the 10-year benchmark yielding a two-and-a-half week high, and analysts speculating a potential pause post a forecasted 25-basis-point rate cut.

Meanwhile, Wall Street endured losses across major indexes, and European stocks broke their three-week winning streak amidst growth concerns and policy clarity. In currency markets, the dollar showed resilience, experiencing its largest weekly gain in a month, fueled by speculation over reduced pace in U.S. rate cuts.

(With inputs from agencies.)