The US Federal Reserve opened a key interest rate meeting on Tuesday, just hours after Donald Trump’s close aide Stephen Miran was sworn in as a governor of the central bank, while another top official, Lisa Cook, is fighting the president’s attempt to oust her.Miran, who has been a senior adviser to Trump, took the oath of office on Tuesday, the Fed said in a statement, as its rate-setting Federal Open Market Committee (FOMC) began a two-day policy gathering AFP reported. His arrival followed a narrow Senate vote on Monday night confirming him as one of the FOMC’s 12 voting members.Markets widely expect the Fed to announce its first interest rate cut of 2025 when the meeting concludes on Wednesday, as policymakers seek to shore up a weakening jobs market. But political pressure on the independent central bank has intensified, with Trump repeatedly urging Chair Jerome Powell to cut rates more aggressively.Miran’s appointment gives him a single vote on the FOMC, and it is unclear whether he will align with Trump’s calls for steeper reductions. On Tuesday, Trump told reporters that the Fed should “listen to smart people like me.”Before joining the Fed, Miran was serving as chairman of the White House Council of Economic Advisers. His decision to take a leave of absence from that role, rather than resign, drew criticism from Democratic lawmakers, particularly as his Fed term lasts just over four months. He is filling the unexpired term of Adriana Kugler, who stepped down before her stint was due to end in late January.The meeting is also overshadowed by Trump’s attempt to remove Cook, a Fed governor appointed by former president Joe Biden, over allegations of mortgage fraud. Cook has not been charged, and the alleged incidents predate her appointment. A federal appeals court ruled late Monday that she could remain in place while her legal challenge proceeds, but the Trump administration plans to take the case to the Supreme Court.White House spokesman Kush Desai told AFP that the president “lawfully removed Lisa Cook for cause,” which he said could mean malfeasance or dereliction of duty. He added: “The administration will appeal this decision and looks forward to ultimate victory on the issue.”The Fed has held its benchmark lending rate between 4.25 percent and 4.50 percent since December, monitoring the impact of Trump’s tariffs on the economy. Markets are betting on a 25-basis point cut this week, while looking for signals on the pace and scale of reductions in the months ahead.

New Delhi: A team of officials from the Office of the United States Trade Representative (USTR), led by Chief Negotiator for India–US Bilateral Trade Agreement talks Brendan Lynch, visited India on Monday to advance discussions on a proposed trade pact.

According to a statement from the Ministry of Commerce & Industry, the delegation held talks with senior officials from the Department of Commerce, led by the Special Secretary, focusing on key aspects of India–US trade ties, including the much-anticipated Bilateral Trade Agreement.

The ministry said both sides acknowledged the enduring importance of bilateral trade between the two countries. “The discussions were positive and forward-looking, covering various aspects of the trade deal,” the statement added.

It was also decided to intensify efforts to achieve the early conclusion of a mutually beneficial trade agreement, signalling a renewed push by both governments to resolve pending issues and expand economic cooperation.

US stocks stayed close to record highs on Tuesday as investors awaited the Federal Reserve’s first interest rate cut of the year, expected on Wednesday. The S&P 500 rose 0.1% from its recent peak, the Dow Jones Industrial Average gained 52 points, or 0.1%, and the Nasdaq composite was 0.1% higher as of 9:35 a.m. Eastern time.The rally reflects expectations that the Fed will begin a series of rate reductions to support economic growth, with a slowing job market prompting officials to prioritise employment over inflation. Analysts expect additional cuts through the remainder of 2025 and into 2026.Consumer spending exceeds expectationsRetail sales data for August showed higher-than-expected consumer spending, with overall sales rising 0.6% month-on-month and 5% year-on-year. Spending gains were seen at motor vehicle dealers, restaurants, bars, and grocery stores, while furniture and general merchandise stores reported declines. The figures suggest households continue to spend despite tariff-driven price pressures, limiting near-term recession risks.Corporate results and geopolitical factors influence tradingCorporate earnings added mixed signals. Oracle shares gained 3.5% on speculation it may help keep TikTok operating in the US, while Dave & Buster’s dropped 15.4% following weaker quarterly profits. New York Times Co. fell 1.6% after former President Donald Trump filed a $15 billion defamation lawsuit against the company and four journalists, citing coverage related to the 2024 election.Global markets showed modest movements, with Japan’s Nikkei 225 rising 0.3% to a record high despite political uncertainty following Prime Minister Shigeru Ishiba’s resignation. European indexes dipped slightly. Meanwhile, the yield on the US 10-year Treasury eased to 4.03% from 4.05%, reflecting anticipation of lower interest rates.Bank of America’s latest survey showed global fund managers heavily weighted toward US equities at the highest level in seven months, although 58% also said stocks look overvalued. Analysts noted that attention will focus on Fed Chair Jerome Powell’s press conference and projections, which could guide market direction in the months ahead.