U.S. Treasury Secretary Scott Bessent said in his latest remarks that U.S. core inflation is gradually moving closer to the Federal Reserve’s target. He also noted that once the conflict involving Iran subsides, energy supplies will return to ample levels, and mortgage rates and Treasury yields are expected to fall.
The timing of these remarks is particularly significant, coming just as the Federal Reserve is about to release the minutes of its latest monetary policy meeting. Markets have remained highly alert to sticky inflation and energy disruptions caused by geopolitical tensions. By signaling a cooling outlook at this moment, the Treasury secretary is clearly seeking to shape market expectations.
For traditional financial markets, crude oil prices and Treasury yields will be directly affected by these remarks and the meeting minutes. If inflationary pressures ease as expected, the upside for Treasury yields will be limited, while the U.S. dollar index will face a key moment in the tug-of-war between bullish and bearish forces.
In crypto markets, $BTC and all major tokens are closely awaiting the guidance provided by the meeting minutes. Overall sentiment is cautious. If expectations for macro liquidity improve as inflation cools, this could provide some support for the market, but the risk of short-term volatility should not be overlooked.🪙
#Inflation #Fed #InterestRates
The timing of these remarks is particularly significant, coming just as the Federal Reserve is about to release the minutes of its latest monetary policy meeting. Markets have remained highly alert to sticky inflation and energy disruptions caused by geopolitical tensions. By signaling a cooling outlook at this moment, the Treasury secretary is clearly seeking to shape market expectations.
For traditional financial markets, crude oil prices and Treasury yields will be directly affected by these remarks and the meeting minutes. If inflationary pressures ease as expected, the upside for Treasury yields will be limited, while the U.S. dollar index will face a key moment in the tug-of-war between bullish and bearish forces.
In crypto markets, $BTC and all major tokens are closely awaiting the guidance provided by the meeting minutes. Overall sentiment is cautious. If expectations for macro liquidity improve as inflation cools, this could provide some support for the market, but the risk of short-term volatility should not be overlooked.🪙
#Inflation #Fed #InterestRates