jeromewaller

🚨 JUST IN: 🇺🇸 FED'S WALLER SIGNALS MORE RATE HIKES TO FIGHT INFLATION.
“We need to raise rates to put downward pressure on inflation.”
This is a potentially bearish signal for risk assets.
Higher interest rates could mean tighter financial conditions, stronger demand for the US dollar, and continued pressure on liquidity.

Why it matters for markets:
Higher rates generally increase borrowing costs, reduce liquidity and make riskier investments less attractive.
Bitcoin & Crypto: Potentially bearish as tighter monetary policy can reduce liquidity and risk appetite.
US Dollar (DXY): Potentially bullish if markets price in a more hawkish Fed.
Gold & Silver: Higher real yields could create downside pressure.
US Treasury Yields: Watch the 2-year and 10-year yields for confirmation of changing rate expectations.
My trading view: Don't immediately assume a rate hike is guaranteed. Watch CPI, Core CPI, PPI, Treasury yields and DXY before taking directional positions.
The key question is whether inflation remains persistent enough to force the Fed into further tightening.
Stay cautious. Protect your capital. Avoid excessive leverage.
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