After the nonfarm payrolls data was released, the market’s probability of the Federal Reserve raising rates by 25 basis points in September quickly rose from 49% to about 60%.
Citigroup has pushed back its forecast for the Fed’s next rate cut to June next year.
Higher interest rates put direct pressure on Bitcoin, raising the opportunity cost of holding a non-yielding asset and tightening overall financial conditions.
Bitcoin plunged sharply from above 82,000, at one point falling below 80,000 dollars.
But Thirteen must remind everyone of one thing: Bank of America’s latest research report points out that August’s nonfarm employment data was only an "opening warm-up"; the key variable that will truly determine whether the Fed raises rates in September is next week’s CPI inflation data.
Fed Governor Waller also signaled a more dovish stance, saying this month’s interest-rate decision is largely being shaped by the inflation report due next week, and that he is beginning to see signs of inflation easing.
The FOMC meeting on September 15-16 will be the real day of judgment.
The nonfarm data has already pushed the probability of a rate hike to 60%, but CPI is the final yardstick.
Citigroup has pushed back its forecast for the Fed’s next rate cut to June next year.
Higher interest rates put direct pressure on Bitcoin, raising the opportunity cost of holding a non-yielding asset and tightening overall financial conditions.
Bitcoin plunged sharply from above 82,000, at one point falling below 80,000 dollars.
But Thirteen must remind everyone of one thing: Bank of America’s latest research report points out that August’s nonfarm employment data was only an "opening warm-up"; the key variable that will truly determine whether the Fed raises rates in September is next week’s CPI inflation data.
Fed Governor Waller also signaled a more dovish stance, saying this month’s interest-rate decision is largely being shaped by the inflation report due next week, and that he is beginning to see signs of inflation easing.
The FOMC meeting on September 15-16 will be the real day of judgment.
The nonfarm data has already pushed the probability of a rate hike to 60%, but CPI is the final yardstick.