Our NewsletterInvestor RelationsOur NewsletterInvestor RelationsOur NewsletterInvestor RelationsOur NewsletterInvestor RelationsOur NewsletterInvestor RelationsOur NewsletterInvestor Relations
Necessary cookies help make a website usable by enabling basic functions like page navigation and access to secure areas of the website. The website cannot function properly without these cookies.
Preference cookies enable a website to remember information that changes the way the website behaves or looks, like your preferred language or the region that you are in.
Statistic cookies help website owners to understand how visitors interact with websites by collecting and reporting information anonymously.
Marketing cookies are used to track visitors across websites. The intention is to display ads that are relevant and engaging for the individual user and thereby more valuable for publishers and third party advertisers.

Market Update - September 20th 2024

Timer1 min read

  • Data

On Wednesday, the Fed opted to cut interest rates by 50 basis points.

On Wednesday, the Fed opted to cut interest rates by 50 basis points, which came as a surprise to some who were expecting a less proactive 25 basis point cut. In theory, this aggressive move is good for stocks and risk assets alike. Yet underpinning this decision are growing concerns from different camps ranging from a possible ignition of inflation, as well as on the other side of a deteriorating labor market.

What is clear is that a fine balance needs to be achieved over the next few months in order for the Fed to achieve their dual mandate without hitches. Powell's press conference indicated his concerns are now more focused on the labor market.
We are encouraged by the Fed's more proactive approach in supporting the labor market before it weakens too rapidly. The new Fed dot plot shows they expect to cut another 50 basis points by the end of the year.

On the crypto front spot, Bitcoin ETFs recorded inflows totaling over $450 million the week prior, likely driven by anticipation of the Fed's interest rate decision, marking a sharp contrast to the outflows seen the week before. Overall, we view this shift in monetary policy as being a long-term supportive factor for Bitcoin and the broader crypto market, regardless of future economic growth prospects in the US. And that's it from our Market Update, follow CoinShares for more insights.

Published on20 Sept 2024

Welcome
to CoinShares

Personal data

0102

When you visit CoinShares website, cookies enhance your experience. They help us to show you more relevant content. Some cookies are necessary for the site to work and will always be active. Blocking some types of cookies may impact your experience of the website and the services which we offer on our website.

We use cookies on our site to optimize our services. Learn more about our EU cookie policy or US cookie policy.

  • Necessary
    Question circle icon
  • Preferences
    Question circle icon
  • Statistical
    Question circle icon
  • Marketing
    Question circle icon