📈 Financial market is changing: Fed rate cut is imminent, global market volatility intensifies📉
Recent financial market dynamics have attracted widespread attention, especially about the Fed's possible rate cut decision. The market expects that the Fed may take early rate cut measures to appease market sentiment before the FOMC meeting on September 18.
Therefore, August may be a volatile month, and investors need to be prepared for various market trends to cope with the last opportunity to enter the market in this cycle!
In addition, the plunge in global financial markets and cryptocurrency markets has triggered a variety of speculations:
1. First, some people believe that the conflict between Israel and Hamas, coupled with the assassination of Hamas leaders in Iran, triggered panic selling in financial markets. But some people disagree with this view because conflicts in the Middle East have always had a long history, and this incident is not enough to trigger World War III.
2. Secondly, the unexpected interest rate hike by the Bank of Japan may also be one of the reasons for the market turmoil. Although Japan has long implemented a zero interest rate policy to combat deflation, the Bank of Japan recently decided to raise interest rates by 25 basis points, which has caused a certain impact on global financial markets. However, there are also views that although this move has a certain impact on the market, it is not enough to trigger a global economic panic or collapse.
3. In addition, given the poor performance of US labor data last Friday, the rise in unemployment is also considered to be one of the factors leading to financial market turmoil.
However, mainstream media and large institutions will use this series of events to hype, combined with a sharp correction in the financial market, so that the global financial market is shrouded in panic. This view is verified by the recent performance of the US and Japanese stock markets.
Viewpoint:
Given the large increase in US stocks in the past one or two years, this round of 10% to 20% correction may be a healthy market adjustment in the long run.
At the same time, Bitcoin hit a record high of $74,000 before the fourth halving, and the current correction is just a normal correction phenomenon of the bull market outlook.
However, for those investors who have accumulated enough chips, the next time the market explodes, it will be the time to reap the benefits!
