Hawkish Dot Plot and Warsh's Tough Tone Outweigh Fed Rate Hike in Market Impact
The Fed raised rates 25bp as expected, but a hawkish dot plot and Warsh's tough tone shifted markets' focus to yields and the possibility of a December hike.
Inflation, employment, growth data and central bank decisions, and how they reprice risk across markets.
The Fed raised rates 25bp as expected, but a hawkish dot plot and Warsh's tough tone shifted markets' focus to yields and the possibility of a December hike.
Apollo's chief economist warns that widening CDS spreads on hyperscaler debt reflect weakening fundamentals, drawing comparisons to the 2008 housing crisis.
Trump demanded the Fed cut rates to 1% after Warsh raised them to 3.75-4%, threatening more hikes. Bitcoin and gold reacted.
Chinese President Xi Jinping's planned summit with Donald Trump on September 24 may be cancelled if the US approves a $14 billion Taiwan arms sale.
Bessent is open to AI-risk talks with China in New York but ruled out slowing US development. Both governments rejected calls for an AI slowdown.
The Fed raised rates by 25bps to 3.75%-4.00% unanimously and projected further hikes, signaling a higher-for-longer path.
Peter Schiff argues the bond market broke in 2020 and the Fed has lost the inflation fight, while debating Bitcoin's value against gold.
New Zealand's Q2 GDP expected near zero; RBNZ likely to delay rate decision until December unless data surprises.
Jamie Dimon warned of a $10 trillion small-business ownership risk; Mark Zandi cautioned the Fed could make a serious policy mistake.
Thursday's Asia calendar is quiet; NZ GDP is the key data point. The failed clarity bill and Fed hike were both widely expected.
Bitcoin's price swung after the Fed raised rates for the first time since 2023, eventually settling near $75,813.
Federal Reserve hikes rates for first time in three years; dollar rises.
The Fed decision strengthened the dollar and lifted short-term Treasury yields; the Dow turned negative but technology stocks held their gains.
Fed hikes rate to 4%; 16 of 18 officials see further increase. Bitcoin spiked then fell, gold sold off after the decision.
The Federal Reserve raised interest rates by 25 basis points for the first time in three years, as expected. The decision was unanimous.