An attempt to pressure or change policy?
As for Krishna Guha of Evercore, he considered that Powell’s “tougher tone” could be read as an attempt to pressure against further easing of financial conditions, and to limit expectations of lowering interest rates within the acceptable range, while preserving the possibility of increasing interest rates again. if it is necessary.
Although this should be risk aversion, Guha did not interpret this as “a major shift in monetary policy, but rather an attempt to correct the pace,” adding: “We do not see, for example, any serious attempt to return to raising the issue of raising interest rates in December.”
Markets fluctuated as Powell warned investors not to be misled by “fake moves” in a good few months of data, said Jeffrey Roche of LPL Financial.
However, Roche expected bond yields to decline ahead of the announcement of inflation numbers next week, which is expected to provide some “relief” to the markets, as the overall inflation rate may not be high.
On the other hand, Bitcoin prices exceeded the level of $36,000, and jumped beyond the level of the collapse of Terra prices, in a moment of victory for those optimistic about the cryptocurrency. West Texas Intermediate crude oil prices rose stable directly below the level of $76 per barrel after falling by $5 over the last two sessions, which pushed futures contracts into the oversold zone on the Relative Strength Index.
2023-11-09 23:00:43
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