Fed’s Minutes Report ‘Bludgeons’ World Markets — Shares, Crypto, Valuable Metals Slip in Worth – Economics Bitcoin Information
Minutes of the US Federal Reserve’s December 14-15 policy meeting show that the central bank is adamant in lifting its quantitative easing (QE) tactic and that it no longer believes ultra-low interest rates are necessary. Global markets fell immediately after the news broke as the stock markets were churned, crypto markets lost billions, and precious metals like gold also fell a hair in value.
Federal Reserve Political Session Suggests QE and Low Interest Fiesta End, Global Markets Losing Billions
Recently released notes from last month’s Fed meeting suggest that the US Federal Reserve believes the economy is healthy enough to make major asset purchases and raise interest rates. Vishnu Varathan of Mizuho Bank wrote in a report that the Fed’s protocol update “beat the markets up” after it was released. Barron’s financial writer Randall W. Forsyth wrote that investors are “surprised, somewhat surprising”.
In the past 24 hours, the stock markets and crypto asset markets have depreciated significantly. The Nasdaq and NYSE nearly recovered during their morning trading sessions on January 6, 2022. The prices shown in this screenshot were recorded at 11:40 a.m. (EST).
Fed Chairman Jerome Powell gave no details on when the rate hike will begin, and when it comes to QE Powell said it was “best to take a cautious, methodical approach.” Powell insisted that the cautious stance on tapering was due to the fact that “markets can be sensitive”. Equity markets were sensitive on January 5th after the Fed minutes were released, and the crypto economy also lost billions in value. Gold lost 1% and silver 3% in the 24 hours after the Fed minutes were released.
The gold and silver percentages shown in this screenshot were recorded at 11:40 a.m. (EST).
Asian stocks also fell during overnight trading (EST) sessions following the Wall Street collapse. On Thursday, Wall Street’s top indices made some gains as the Nasdaq and NYSE gained a few percentage points that morning, but the Dow Jones index still lost 100 points. Digital currency markets are down 8.3% across the board as the crypto economy is valued at $ 2.17 trillion today.
The last meeting of the Fed minutes showed that the level of inflation in the US has risen sharply, but the strength of the economy was considered healthy. Fed participants wrote that they “wanted to start reducing the Federal Reserve’s balance sheet relatively soon after the interest rate hike began.” The next meeting of the US Federal Reserve is on May 25-26. January planned.
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Asian Markets, Crypto Economy, Crypto Markets, Fed, Fed Chairman, Fed Minutes, Fed Policy Meeting, Federal Reserve, Global Markets, Gold, Interest Rates, Jerome Powell, Market Dump, Minutes Report, PMS, Precious Metals, QE, Quantitative Easing, Rate Hikes, Silver, stock markets, Wall Street
What do you think of the Federal Reserve’s latest minutes report and the market changes that followed soon after? Let us know what you think on this matter in the comments below.
Jamie Redman is the News Lead at Bitcoin.com News and a Florida-based financial tech journalist. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for bitcoin, open source code and decentralized applications. As of September 2015, Redman has written more than 5,000 articles for Bitcoin.com News on the disruptive protocols emerging today.
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