US stock market

4E: The expectation of a pause in interest rate cuts next year has weakened the US stock market. This week, attention is on the Federal Reserve's interest rate meeting

ChainCatcher news, according to 4E monitoring, the S&P 500 halted a three-week winning streak last week, falling 0.64% for the week; the Dow Jones dropped a cumulative 1.82% over the week, marking seven consecutive trading days of decline; the Nasdaq gained a cumulative 0.34% over the week, breaking the 20,000 point mark for the first time in history.Bitcoin rose back above $100,000 last week, setting a record for the longest seven-week winning streak since 2021. The altcoin market saw a decrease in enthusiasm, with a general pullback. Over the week, Bitcoin ETFs saw a net inflow of $2.115 billion, Ethereum ETFs had a net inflow of about $712.7 million, and the supply of stablecoins increased by $2.1 billion, indicating a sustained positive outlook for funds. As of the time of publication, Bitcoin surged suddenly, breaking its historical high to reach $106,648, with the top ten cryptocurrencies also seeing an increase of nearly 1% to 4%.In the forex commodities sector, the US dollar index performed strongly last week, breaking above 107 on Friday and continuously refreshing a two-week high, with a weekly increase of nearly 1%, marking the best weekly performance in a month, while non-USD currencies fell cumulatively over the week. International oil prices surged across the board last week due to geopolitical tensions, halting two weeks of declines, with US oil rising over 6% for the week and Brent oil increasing by 4.54%. Benefiting from market expectations of an upcoming interest rate cut by the Federal Reserve next week, spot gold rose a cumulative 0.56% over the week.The most anticipated economic event this week is the FOMC meeting to be held by the Federal Reserve on Wednesday, followed by the announcement of interest rate decisions and quarterly economic forecasts on Thursday. The market has already fully priced in expectations for a 25 basis point rate cut in December, with the real focus being on clues regarding the future direction of Federal Reserve policy. The market expects that rate cuts next year will be more cautious and gradual, with a possibility of pausing rate cuts in January.Additionally, this week marks the last "central bank super week" of 2024, with up to 25 central banks, including those from Japan, the UK, and Sweden, meeting in the same week. The decisions from some key central banks may trigger market volatility, especially in the fast-paced forex and commodities markets. eeee.com is a financial trading platform that supports assets such as cryptocurrencies, stock indices, commodities like gold, and forex, recently launching a USDT stablecoin wealth management product with an annualized return of 5.5%, providing investors with a potential hedging option. 4E reminds you to be aware of market volatility risks and to allocate assets wisely.

4E: CPI data release is imminent, Trump trades on hold

ChainCatcher News, the U.S. October CPI report is about to be released. As the first major economic data after the election, it will clearly be a key factor influencing the future policy path of the Federal Reserve. Before this important inflation data is released, the market's rapid upward momentum has paused.According to 4E monitoring, all three major U.S. stock indexes fell on Tuesday. The Dow Jones Industrial Average closed down 0.86%, while the S&P 500 and Nasdaq ended their five-day winning streaks, closing down 0.29% and 0.09%, respectively. Among them, "Trump trade" stocks led the declines, with Tesla down 6.1% and Trump Media Group falling nearly 9%. Cryptocurrency-related stocks had mixed results, with MicroStrategy (MSTR) up 4.88% and Coinbase down 1.58%.The cryptocurrency market generally experienced a pullback, with Bitcoin slightly adjusting after breaking through the $90,000 mark to reach a new high. As of the time of writing, it was reported at $88,196, down 0.61%, while Ethereum was at $3,270, down 1.66%.In the forex market, the U.S. dollar index rose to its highest level since November 2022 on Tuesday, pushing the euro to its lowest in a year, the yen to its lowest in three months, and the offshore yuan briefly fell below 7.25 yuan, with other currencies also under pressure. Weighed down by the strengthening dollar and OPEC's fourth consecutive month of lowering global oil demand growth expectations, oil prices have dropped about 5% over the past two trading days. The rise in the dollar index has pressured gold prices down to nearly a two-month low.After the election, the market has already seen a significant rise approaching overbought conditions, and investors are beginning to consider that the main trading line in the market may shift back to the outlook for monetary policy. The U.S. October CPI report, which will be released tonight, could have a critical impact on the Federal Reserve's future interest rate cut process. Any significant surprises in the CPI report could trigger more pronounced market volatility. eeee.com is a financial trading platform that supports assets such as cryptocurrencies, stock indices, commodities like gold, and foreign exchange. Recently, it launched a USDT stablecoin financial product with an annualized yield of 5.5%, providing potential hedging options for investors. 4E reminds you to pay attention to market volatility risks and to allocate assets wisely.

QCP Capital: Risk assets are about to rebound, and the medium-term outlook remains bullish

ChainCatcher news, QCP Capital stated that the Chinese stock market continued to decline today, with the China A50 index dropping another 7%, down 17% from recent highs. The lack of fiscal stimulus has severely impacted investor sentiment. However, the U.S. stock market has not been affected by developments in Asia. Despite uncertainties surrounding the U.S. elections and the exclusion of interest rate cuts in 2024 following the non-farm payroll report, the U.S. stock market continues to rise to new highs. The bond market currently expects two rate cuts in 2024, down from three just a week ago.Despite the escalating turmoil in the Middle East and domestic challenges related to the U.S. elections, the U.S. stock market continues to steadily climb, reaffirming the view that risk assets are poised for a rebound. In the cryptocurrency market, the Meme coin sector has surged with increased on-chain and off-chain trading activity. Traders are heavily speculating and leveraging the latest popular Meme coins, leading to some bubbles in the market.In the past two weeks, the perpetual contract funding rates on exchanges like Deribit and Binance have also risen, indicating that short positions are decreasing or long positions are increasing. This, along with the bubble in the Meme coin market, keeps it vigilant for potential downturns, as such situations often occur when the market is bullish and investors are least guarded. Even in the face of short-term uncertainties and declines, we still plan to continue accumulating, with a bullish mid-term outlook.

4E: The situation in the Middle East escalates, and cryptocurrencies in the US stock market collectively decline

ChainCatcher news, on Tuesday local time, Iran launched a missile attack on Israel, escalating tensions in the Middle East once again and triggering cautious sentiment in global markets, with U.S. stocks and the crypto market responding with declines.All three major U.S. stock indices closed lower, with the Dow down 0.41%, the S&P 500 down 0.93%, and the Nasdaq down 1.53%, making technology stocks the worst-performing sector; the crypto market saw a significant drop, with Bitcoin nearly falling below $60,000, currently quoted at $61,523, down 2.75% in 24 hours, and Ethereum down 5.11%, as market sentiment returned to panic. Data shows that Bitcoin fell about 4% in the first two days of October, in stark contrast to the historical average increase of 20% for the entire month of October; in commodities, the safe-haven asset gold was favored, with December gold futures on the NYSE rising 1.16%, and concerns over crude oil supply intensified, causing international crude oil prices to rise more than 4% at one point.The escalation of tensions in the Middle East has led to a rapid increase in market panic, resulting in a sell-off of risk assets and increased market volatility. eeee.com is a financial trading platform that supports assets such as cryptocurrencies, stock indices, commodity gold, and foreign exchange, recently launching a USDT stablecoin wealth management product with an annualized return of 5.5%, providing investors with potential hedging options. 4E reminds you to pay attention to market volatility risks and to allocate assets wisely.
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