Federal Reserve (Fed) Chair Jerome Powell’s speech at the Jackson Hole meeting wreaked havoc across the equity markets on Friday. His message was crystal clear: inflation must come down even if it means pain for households and businesses in the process. Major US indices tumbled, the US yields advanced, and the US dollar gained.
What about Bitcoin and Gold?
Gold and Bitcoin were sold. In energy, European gas futures continue their spike and crude oil kicked off the week higher. Due this week, the European flash CPI and the US jobs data will be in focus. For the US, another strong jobs data would further back the Fed hawks, whereas in Europe, even a scary inflation figure, and revived ECB hawks, may not suffice to throw the single currency above parity against the US dollar.
Watch the full episode to find out more!
- 0:00 Intro
- 0:27 Powell shows no pity, says the Fed will fight inflation despite costs
- 2:04 US indices tumble
- 3:10 Another strong jobs read could further revive Fed hawks
- 6:35 USD rallies, euro retreats
- 8:20 Energy prices push higher
- 9:13 XAU and Bitcoin cheaper post-Powell
Ipek Ozkardeskaya has begun her financial career in 2010 in the structured products desk of the Swiss Banque Cantonale Vaudoise. She worked at HSBC Private Bank in Geneva in relation to high and ultra-high net worth clients. In 2012, she started as FX Strategist at Swissquote Bank. She worked as a Senior Market Analyst in London Capital Group in London and in Shanghai. She returned to Swissquote Bank as Senior Analyst in 2020. #Jackson #Hole #Powell #speech #inflation #hawkish #energy #crisis #crude #oil #natural #gas #USD #EUR #XAU #Gold #Bitcoin #SPX #Dow #Nasdaq #investing #trading #equities #stocks #cryptocurrencies #FX #bonds #markets #news #Swissquote #MarketTalk #marketanalysis #marketcommentary ___ Learn the fundamentals of trading at your own pace with Swissquote's Education Center. Discover our online courses, webinars and eBooks: https://swq.ch/wr ___ Discover our brand and philosophy: https://swq.ch/wq Learn more about our employees: https://swq.ch/d5 ___ Let's stay connected: LinkedIn: https://swq.ch/cH