Due to the data released by the United States showing a stable labor market and a strong service industry, traders expect that the Federal Reserve may delay interest rate cuts until after June. The sell-off of U.S. Treasuries has intensified, severely impacting the stock market. Cryptocurrency has fallen again, with Bitcoin dropping to 97K, and Ethereum plummeting by 8%. In the past 24 hours, the total liquidations across the network reached 540 million dollars.
The service industry is strong, the labor market is stable, and the Federal Reserve may slow down the pace of interest rate cuts.
Driven by a surge in business services, job vacancies in November rose to a six-month high, with U.S. November JOLTs job openings reaching 8.098 million, significantly exceeding expectations and also higher than the previous 7.839 million, further proving the solidity of the labor market.
The U.S. December ISM Services Index reported at 54.1, higher than the expected 53.5 and the previous value of 52.1, indicating that the U.S. service industry remains very strong.
The labor market is stable and the service industry remains strong, leading traders to expect that the Federal Reserve may slow down the interest rate cut cycle. According to the CME FedWatch Index, traders expect the Federal Reserve may delay interest rate cuts until after June, with the rate cut this year likely to be only by 25 basis points.
The latest minutes from the Federal Reserve's meeting will be released today (January 8), expected to provide more information regarding officials' interest rate forecasts.
Bitcoin has dropped to 97K, Ethereum down 8%, with total liquidations across the network at 540 million dollars.
Bitcoin, which had just managed to return to the 100,000 mark yesterday, again fell back with the U.S. stock market, plunging to 96,181 dollars this morning.
Ethereum's 24-hour decline reached as much as 8%, reporting at 3,384 dollars before the deadline.
According to information from Coinglass, the total liquidations across the network reached 540 million dollars in 24 hours, with 118 million dollars worth of Ethereum positions liquidated, and Bitcoin reaching 100 million dollars.
As Trump is about to officially take office as President of the United States on January 20, the market is increasingly wary of his tariffs, regulations, and various measures. Short-term market volatility is intense, and investors need to be mindful of their risks and manage their positions carefully.
This article discusses whether the Federal Reserve may delay interest rate cuts until June? Cryptocurrency plummeted alongside the U.S. stock market. It first appeared in Chain News ABMedia.
