The Central Bank of America, Federal Reserve, is going to take a decision on interest rates. The decision will be taken on Wednesday, September 18 at 11 pm. The Federal Reserve will announce a rate cut for the first time in about 4 years. With this, the rate relief is expected to begin. Experts say that the decision of the Federal Reserve will determine the direction of everything from the stock market to gold. It is estimated that the money released in the market after the rate cut can give a new boost to everything from shares to gold and can also increase pressure on the dollar.

Experts say that the impact of the decision will be seen on IT and Pharma. Because, RBI can also take a decision soon after Fed. Banking and financial companies will directly benefit from the loan becoming cheaper.

That is why investors have been eyeing this sector till now. Companies that have a lot of debt will also benefit from the reduction in interest rates.  Due to the loans becoming cheaper, these companies will have to pay less money to the banks as interest, which will increase their profits.

 Experts say that the impact will be seen on IT and Pharma. But before the decision, they are under pressure, because economic recession is also a concern.  Banking shares will pick up pace! 

If there is a 0.25 percent cut in interest rates, then there will be a rise in security i.e. bonds, in such a situation banking shares can get benefit. Because, RBI can also decide to reduce interest rates after Fed. This decision will be taken in the first week of October. Banks will get capital gains due to the rise in bond yield in this many days. Therefore, its effect will be seen on income and profit. Housing finance companies can also get another benefit, because the demand for cheap loans is expected to increase. The tension of IT and Pharma may increase-  Rupee is expected to strengthen. In such a situation, there will be a negative effect on exporting companies. Pressure may rise on IT and Pharma. What will be the effect on which sector-  Banking sector - Banking and financial companies will directly benefit from cheap loans? Therefore, investors are now eyeing this sector. Realty sector- This news can be very encouraging for realty companies that are constantly facing problems. Market experts say that due to reduction in housing loan rates, demand in the sector is expected to increase. Auto sector- Reduction in interest rates can further speed up the wheels of auto companies. However, improvement is already being seen in the sector. Companies will get a big benefit from the reduction in the current time. Housing finance sector- Housing finance companies were also struggling with loan growth demand. Market experts say that due to this reduction, demand can pick up again. High growth and profitability of core business are the key factors driving the valuation of housing finance companies.