Global Markets, Bitcoin Defy Expectations After Fed’s Hawkish Taper Plan Anno...
Global markets have defied predictions as the U.S. Federal Reserve and several central banks worldwide are prepping to slow down monetary easing policy. On Wednesday, the U.S. central bank’s Federal Open Market Committee (FOMC) said it plans to taper quantitative easing (large monthly asset purchases) and end the program by March 2022. Moreover, the FOMC members decided to keep interest rates at zero but expect at least three rate hikes next year. Federal Reserve Outlines Asset Purchase Tapering Plan and Rate Hikes for 2022 Since the onset of Covid-19 in the United....
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The stock markets and Bitcoin’s price performance might be hitting a bumpier road after the next Consumer Price Index release. During the year the Fed has been clear about an upcoming tapering, and now that new –and higher– CPI metrics are expected, the taper is likely to fasten its pace and the markets to suffer. The central bank is expected to start reducing its net asset purchase month by month by $10 billion for Treasury securities and $5 billion for agency mortgage-backed securities. This has raised fear over the traditional and crypto markets as prices are expected to be....
This episode of "Fed Watch" covered the global macroeconomic latest, Fed taper and, of course, Bitcoin.
Global markets have been feeling the pressure of fear and uncertainty, as the upcoming Federal Open Market Committee (FOMC) plans to make a decision on Wednesday concerning changing the current monetary easing policy and raising the benchmark interest rate. Economists and market analysts fear the hawkish Federal Reserve will tighten markets too fast after the central bank expanded the U.S. monetary supply like never before in history. Allianz Chief Economic Adviser: ‘Fed Maintained Its Transitory Inflation Narrative for Way Too Long’ All eyes are on the Federal Reserve this....
Bitcoin starts yet another 2022 week in the red with a 2% loss in 24 hours and a 13.5% loss in 7 days. The benchmark crypto has been on a downtrend since the end of 2021 and could potentially dip further due to macroeconomic factors. Related Reading | TA: Bitcoin Key Indicators Suggest A Strengthening Case For More Downsides At least, the above seems to correspond with the general sentiment in the market. The U.S. Federal Reserve is turning more hawkish due to a rise in inflation metrics, hitting new highs for the first time in 40 years. Thus, turning potential price expectations for....
With its stated mandate goals, the Fed is implicitly telling the market that any taper talk is complete nonsense.