Oil dragged down on bank woes
Crude prices are lower as banking worries persist and after Energy Secretary Granholm said refilling the SPR could take years. Banking turmoil will clearly have a negative impact on the economy, possibly crushing small businesses as lending becomes more difficult. There just isn’t a lot of optimism here for the outlook over the short-term for crude oil and that has energy traders hesitant to buy this dip.
Gold rally stalls after hawkish Fed comments
Gold is down after some hawkish comments from Fed’s Bullard was followed by better-than-expected flash PMI data. Bullard’s base case is that bank stress abates and if the economy remains resilient, markets might be wrong in anticipating the Fed’s next move will be a cut. Bullard’s dot is at 5.625%, which means he is pretty confident that the Fed is nowhere near done tightening. Crypto Cryptos are lower as some traders start to doubt how aggressive this market is pricing in Fed rate cuts. Bitcoin was unable to test the $30,000 level and it seems like it is ready for a consolidation phase.
Crypto rally exhausted
Crypto traders are closely following everything with Coinbase. Coinbase CEO Armstrong noted that they weren’t entirely surprised by the SEC notice. No one knows how regulators are going to rule if all tokens are securities.
Coinbase’s success is vital for longer-term crypto growth. In the US, Coinbase is a critical option for how people are getting started with crypto.
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Ed Moya
His particular expertise lies across a wide range of asset classes including FX, commodities, fixed income, stocks and cryptocurrencies.
Over the course of his career, Ed has worked with some of the leading forex brokerages, research teams and news departments on Wall Street including Global Forex Trading, FX Solutions and Trading Advantage. Prior to OANDA he worked with TradeTheNews.com, where he provided market analysis on economic data and corporate news.
Based in New York, Ed is a regular guest on several major financial television networks including CNBC, Bloomberg TV, Yahoo! Finance Live, Fox Business, cheddar news, and CoinDesk TV. His views are trusted by the world’s most respected global newswires including Reuters, Bloomberg and the Associated Press, and he is regularly quoted in leading publications such as MSN, MarketWatch, Forbes, Seeking Alpha, The New York Times and The Wall Street Journal.
Ed holds a BA in Economics from Rutgers University.
Latest posts by Ed Moya (see all)
- Market Insights Podcast – Powell struggles to deliver a hawkish hold - 1 November 2023
- Fed React: USD/JPY softer after Fed fails to deliver hawkish hold - 1 November 2023
- EUR/USD: Dollar wavers on slower pace of Treasury Refunding Sales and mixed labor data - 1 November 2023