Powell Eases Off The Economic Brakes & Crypto Makes Huge Gains
There’s a big unwind of all kinds of safe-haven trades at the moment. Stocks are roaring and the US dollar is sinking across the board. However the biggest moves are in crypto with bitcoin up 9% and ethereum up a whopping 16%.
The change happened after Powell talked about the low chances of another 75 basis point hike in September. Instead, Powell shifted the Fed’s focus to a meeting-by-meeting approach that would be based on data.
The market has seen a decline in the past few days, but this doesn’t seem to be a rejection of the lower prices. If anything, a break of 1664 would be a complete rejection, which is about $60 above where things stand now.
