It was final time for the Fed to align with the market. At the latest FOMC meeting, this was the case, considering that rhetoric about potential rate increases was not at all in the spotlight of Powell's speech, but clearly slowdown of inflation and that FOMC members are perceiving Fed`s rates at 4.6% as of the end of 2024. This was a clear signal for markets that...
The Fed took a dovish stance at the latest FOMC meeting held during the previous week. Although a potential increase in interest rates was mentioned, in case that inflation picks up again, still the majority of FOMC members are perceiving interest rates at level of 4.6% in 2024. This was sort of confirmation for the market that the Fed is slowly moving toward...
The FED rhetoric changed a bit after the latest FOMC meeting, aligning it with the market anticipation. Namely, the FOMC members continue to perceive Fed interest rates at 4.6% at the end of the next year, which would mean several rate cuts during the course of the year. The market perceives the first one to occur in March 2024. The market was highly supported...
The most important event during the previous week was the FOMC meeting, where its members left the rates unchanged. After the meeting statement, Powell`s rhetoric was more in alignment with the market anticipations, then it was during previous meetings. Although the possibility of further rate increases has not been fully excluded, still, the majority of FOMC...
Although investor’s sentiment since the start of December was strongly optimistic, the time of short term relaxation came during the previous week. The investors' optimism was a bit spoiled by the news that SEC responded to the Coinbase petition from the year 2022 asking for a new regulation which would specifically cover crypto assets. SEC`s answer was clearly...
Last week in the news Both the FED and the ECB left the rates unchanged during the previous week. The US Treasury yields slipped further in expectation of rate cuts, while US equities finished another week in green. The USD lost some in value, while Gold gained on a weaker dollar. The crypto market eased during the previous week, where Bitcoin slipped toward $...
The yields on the US Treasuries continued to slow down during the course of the previous week. However, a strong US jobs data posted on Friday, made an impact on 10Y yields to revert a bit toward the higher grounds. Although the US equities were supported by the same news, investors in the Treasury bonds still hold a dose of reserve when it comes to the future...
Strong US jobs data and relatively good economic conditions despite strong monetary tightening made an impact on the price of Gold to stabilize around the level of $2K. The correlation with the USD has been returned during the previous week, however, the price of Gold remained at relatively higher grounds. Gold started the previous week around level of $2.070...
Relatively solid economic data posted during the previous week supported further US equities. The job market in the US seems more resilient to tighter monetary conditions than expected and especially, projected by the FOMC members. The S&P 500 sustained its highest peak since May 2022 and finished the trading week at level of 4.604. The index continues to move...
The evident resilience of the US economy pushed the value of USD to higher grounds. In the spotlight of the market were jobs figures, where non-farm payrolls in November reached a level of 199K of new jobs, a bit above market estimate of 180K. At the same time, the unemployment rate in November was a huge surprise for analysts, as it dropped to the level of 3.7%...
As the New Year’s holidays are approaching, the investor’s sentiment has been in the cheer mood since the start of December. For the second week in a row markets are strongly moving to the upside. The latest US jobs data for November increased investors’ confidence over the resilience of the US economy. When it comes to the crypto market, it was additionally...
Last week in the news The strong resilience of the US economy continues to support market optimism, after the latest posted US jobs data for November. The USD gained during the week as well as both US and EU equities. While Gold is trying to get back into correlation with USD, US Treasury yields continued with a decline. The crypto market continues to be...
Fed Chair Powell is speaking, but the market is not listening. Powell was speaking on Friday at Spelman College in Atlanta, noting once again that the current policy might not be restrictive enough, meaning that further rate hikes are possible in case that inflation remains persistent. However, a strong economic output of 5.2% for Q3 and inflation figures which...
For one more week the markets entered into a hype mood in strong expectations that the Fed will cut rates in May next year. Strong GDP figures of 5.2% annualized for Q3 only added a fuel to the market hype. The price of Gold reached levels above $2K, ending the week at level of $2.070. At the same time USD gained in strength during the week on the same hype. For...
After Fed Chair Powell's speech at Spelman College in Atlanta on Friday, the markets became almost certain that the Fed will cut rates in May next year. It is currently unclear which his comment supported such expectations, considering that Powell for one more time noticed that rate cuts are not in the store and that there is a potential for another rate hike in...
There are two major events for USD which occurred during the previous week. The first event was related to a better than expected US GDP annualized growth rate of 5.2% for the third quarter, beating the market estimate of 5.0%. Such a strong figure heated investors’ confidence that the Fed is just around the corner to cut interest rates. It also showed the...
The hype over BTC ETH continues to be quite strong on the crypto market. In addition to it, Fed Chair Powell's speech during the previous week only supported market expectations that the Fed is finished with further rate hikes and that rate cut could be expected within the course of 2024. Although it is interesting that Powell did not mention any sort of rate...
Last week in the news December started in a positive tone on financial markets. Gold hit new yearly highs above $2K, in expectation of Fed's rate cut during the course of 2024, while US equities reached this year`s highs for one more time, on the same assumption. The crypto market is still under expectations of the approval of the first spot BTC ETF, where the...