The main event of last week was information from the Fed. Jerome Powell once again demonstrated his determination to maintain a tough political stance, which caused:
→ increase in bond yields. Yields on 10-year securities reached their highest since 2009;
→ the dollar index jumped to its highs of the year;
→ stock markets fell — especially NASDAQ. This increases the belief that the AI boom has run its course. The resilience of the Dow Jones index indicates that investors are preferring more defensive assets;
→ fall of cryptocurrencies. At the same time, the price of bitcoin returned to the flat range in which it was at the end of August. Thus, the wave of positivity associated, among other things, with rumours that the head of the SEC wants to approve applications from funds to launch a crypto ETF, has exhausted itself.
Note that on Thursday:
→ news from the US on unemployment and GDP will be released at 15:30 GMT+3;
→ Powell is scheduled to speak at 23:00 GMT+3.
A scenario cannot be ruled out in which if the beginning of this week is marked by attempts by the bulls to adjust the stock market after last week’s fall, then these attempts could be radically disrupted on Thursday.
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