Gate News: Latest Crypto News and Cryptocurrency Prices

11:41

Are there analysts singing a different tune? The interest rate cut by the Central Bank of the UK may be a mistake.

On June 19, Bluebay Chief Investment Officer Mark Dowding said that the Bank of England wants to lower interest rates, and they want to believe that inflation is under control. Here's what some of their models tell them what should happen. But intuitively, I've always thought that inflation in the UK is still too high and that a rate cut would be a mistake. From this point of view, if the market thinks that the BoE is becoming more dovish and the yields are falling, then I would instead prefer to do the opposite, on the other side, expecting yields to rise. As far as my observation of inflation is concerned, real-life experience of inflation suggests that inflation is still around 4% at the moment. The prices of all commodities seem to be rising, and inflation expectations are presumably staying around this level. Against this backdrop, I don't see much room for the Bank of England to cut rates.

06:35

The Bank of England is considering requiring banks to reduce their exposure to Crypto Assets before 2026.

According to Gate News bot, as reported by Cryptonews, the Bank of England (BOE) is considering a proposal that would limit UK banks' exposure to Crypto Assets before 2026. Bank of England Executive Director David Bailey ( stated at the Risk Live Europe event held in London on Wednesday that the upcoming rules in the UK will be more "restrictive." He specifically pointed out that banks will be encouraged to maintain lower risks in their Crypto Assets investments. "There are also some examples that suggest a restrictive approach may be more appropriate," he said, "prudent handling of banks' investments in Crypto Assets, particularly those with high price Fluctuation and where investors may lose their entire investment, is one such example." Additionally, the UK is working on developing a risk disclosure framework for Crypto Assets as set by the Basel Committee on Banking Supervision. This framework includes "a set of standardized public forms and templates covering banks' Crypto Assets risk exposure."

15:04

BOE Governor Bailey: too early to declare victory over inflation

Golden Finance reported that Andrew Bailey, the head of the Central Bank of England, stated that it is still too early to declare victory over inflation; he maintains a cautious and optimistic attitude towards better anchoring of inflation expectations.

12:45

Pan Sen Macro: UK corporate inflation expectations downgraded, BOE may accelerate interest rate cuts

The inflation expectations of British businesses are falling, increasing the likelihood of a quick interest rate cut by the Bank of England. The latest data shows that in June, the inflation expectations for the next year fell from 2.9% in May to 2.8%. Samuel Tombs, Chief UK Economist at Pantheon Macroeconomics, pointed out that this will give the Bank of England Monetary Policy Committee the confidence to cut interest rates quickly, possibly in September or August.

01:19

Arthur Hayes: The crypto bull market is awakening, go long on Bitcoin and then go long on altcoins Arthur Hayes, a well-known KOL in the crypto community, published his latest article "Group of Fools". He said that he had suggested in his previous article "The Easy Button" that the US Federal Reserve (Fed) could use an unlimited amount of newly printed US dollars to exchange yen with the Bank of Japan (BOJ) to strengthen the yen. However, the central banks of the Group of Seven (G7) decided to achieve this goal by reducing the interest rate differentials between the yen and the US dollar, euro, pound sterling and Canadian dollar. To do this, the G7 central banks (Fed, European Central Bank "ECB", Bank of Canada "BOC", Bank of England "BOE") with higher policy rates must cut interest rates. Currently, the BOJ's policy rate is 0.1%, while the rates of other G7 countries are between 4-5%. The interest rate differential fundamentally drives exchange rate changes. Since the BOJ holds more than 50% of the Japanese Government Bond (JGB) market, it cannot raise interest rates without incurring catastrophic losses. Although the G7's inflation rate is above the target of 2%, this week the BOC and ECB cut interest rates despite inflation being above target. Arthur Hayes believes that this move is in response to the weakening of the yen and its potential risks to the global financial system. The G7 will hold a meeting in a week, and the communique after the meeting will be of great interest to the market. The Fed is not expected to cut interest rates at the upcoming June meeting, while the BOE may unexpectedly cut interest rates. The trend is clear, central banks have begun to ease monetary policy. These central bank policy changes will drive the cryptocurrency market out of the summer doldrums. "Go long Bitcoin, then long altcoins. It's time to redeploy excess US dollar liquidity to altcoins." The cryptocurrency bull market is awakening.

BTC-3.32%

12:30

The Financial Times reported that the Bank of England (BoE) and the Financial Conduct Authority (FCA) will take a "proactive" and flexible regulatory approach through the Digital Securities Sandbox (DSS). Sashi Mills, Executive Director of the Bank of England, said this will enable regulatory agencies to adopt new approaches, maximize the potential benefits of innovation, and "manage financial stability risks". Through DLT, DSS aims to alleviate the inefficiency in the "post-trade environment", which can "drop the entry barriers for providers" while enhancing the flexibility of the financial market.

15:23

BOE Governor Bailey said that if the evolution of the economy and inflation aligns with the central bank's expectations, there would be reason to cut interest rates. Bailey stated, "All meetings are on the table." "If the situation develops as implied by the forecasts."

07:26

The Bank of England and the Financial Conduct Authority have launched a digital securities sandbox for DLT testing

PANews reported on April 4 that the Bank of England (BoE) and the Financial Conduct Authority (FCA) have begun consultations on the draft Digital Securities Sandbox (DSS) guidelines, which are designed to allow participants to test distributed ledger technology (DLT) to trade and settle digital securities such as stocks and bonds, according to Cointelegraph. According to the draft joint consultation and guidance released on Wednesday, the sandbox will last for five years and could lead to a new regulatory regime for securities settlements. Applicants who successfully use the Sandbox will be able to provide securities depository and settlement services, as well as operate a trading venue in accordance with the revised regulations.

03:12

European stock markets stabilized after rising for nine consecutive weeks, the longest in 12 years

European stock markets held steady after the longest nine-week winning streak in nearly 12 years. The Euro Stoxx 600 was broadly flat at the London close. European stock markets have been on record tension, with comments from a number of central banks last week supporting investors' bullish stance on risk assets. The SNB's surprise rate cut and the dovish outlook of Fed Chair Jerome Powell and BoE Governor Bailey gave investors a reason to position for easing. Mohit Kumar, strategist and chief European economist at Jefferies, said: "While we can debate when the next rate cut will come, the fact is that global central banks are heading for an easing cycle. In addition, Goldman Sachs' Lilia Peytavin became the latest strategist to raise the Euro Stoxx 600 target for the next 12 months to 540 points, citing a positive macroeconomic outlook and interest rate cuts.

03:18

European stocks jumped to record highs UK stocks were buoyed by central bank policy meetings

European stock markets hit record highs, fueled by optimism around the Federal Reserve's interest rate cuts. At the same time, the UK stock market rose as the Bank of England took another step in the direction of cutting interest rates. "The UK benchmark interest rate currently remains at 5.25%, but given that the BoE remains optimistic that inflation will fall back to target soon, rather than later, there may be more room to be optimistic about rate cuts than they are currently suggesting," said Neil Birrell, chief investment officer and fund manager at Premier Miton. ”

05:51

Saxo Bank: BoE meeting vote likely to reflect a more dovish stance

The Bank of England is expected to keep the Bank Rate unchanged at 5.25% and watch for future policy guidance. The MPC's vote distribution may suggest that monetary policy may shift to a more dovish stance, with the hawkish bias expected to disappear at the May meeting. Markets are pricing in a total of 63 basis points of rate cuts by the Bank of England by the end of the year, possibly starting in August, compared to a 38% chance of a rate cut in June. Until the downward trend in inflation is confirmed, the 10-year gilt yield is likely to remain range-bound.

07:47

Analyst: The watershed is coming, and the spread advantage will give the yen a 10% chance to appreciate

Analyst Aaron Rock said that for the yen, we expect the tightening of the Bank of Japan's monetary policy to herald a period of strength, with the yen appreciating against other major currencies by around 8-10% next year. In our view, the Fed, ECB and BoE will all start cutting policy rates in June, so spreads will shift sharply in favor of the JPY. While a stronger yen may scare off some of the overseas investors who have driven the recent bull run in Japanese equities, we expect long-term Japanese government bonds to remain strongly supported by domestic investors, as the expected change in hedging costs favors the repatriation of funds from the euro sector government bonds and the like.

13:17

U.K. Crypto Groups Say Regulators' Proposals on Supervising Stablecoins Need Reworking Crypto industry groups in the U.K. have expressed concerns about the regulators' proposals for supervising stablecoins. While there are some positive aspects, advocates believe that certain aspects of the proposals need to be reconsidered, particularly regarding the treatment of stablecoin firms and the assets that should back the stablecoins. The industry is worried about the misalignment between the Financial Conduct Authority (FCA) and the Bank of England (BoE) on these issues.

09:45

Institutions: The pullback in UK inflation has further boosted market expectations for interest rate cuts

Danni Hewson, head of financial analysis at AJ Bell, said that judging by the BoE's interest rate expectations this morning, there is a growing belief that the BoE could start cutting interest rates as early as March next year. In fact, by this time next year, the economic situation could be very different, with more than a tenth of money market participants believing that interest rates could fall below 4% by December, she said in a note. She said the remarkable progress in cooling core and services inflation, which has been a tight concern for central bankers, suggests that inflation is weakening. But there is still a long way to go to reach the Bank of England's 2% target, and the situation in the Red Sea may still have some repercussions in the future.

07:15

Financial website Forexlive commented on the UK CPI data for November: The Bank of England is likely to cut interest rates for the first time in May next year

UK inflation in November recorded an annual rate of 3.9% y/y, and despite the BoE's pushback, inflation data like this one is clearly poor, which will continue to prove to the market that the market's expectation that the BoE will cut interest rates sooner is correct. The pound fell as a result, and traders will see May as the first possible future rate cut by the Bank of England. Ahead of the inflation report, there is a roughly 65% chance that the Bank of England will cut interest rates in May next year.

02:27

Unicredit: The Bank of England is expected to cut interest rates later than the Federal Reserve and the European Central Bank

The Bank of England hawkishly left interest rates unchanged at 5.25% on Thursday as the Monetary Policy Committee (MPC) tried to suppress market expectations that the bank would quickly follow the Federal Reserve and the European Central Bank in cutting interest rates, Unicredit said. The MPC said the commissioner's decision on whether to keep rates unchanged or raise rates was again "very balanced." Bank of England Governor Andrew Bailey said that there is "still some way to go" to get inflation back to target, that there are differences between the situation in the UK and the US, and that it is too early to speculate on a rate cut. In light of this, we still expect BoE rate cuts to start in Q3 2024, a quarter later than Fed and ECB cuts, reflecting higher UK wage growth and sticky services inflation. But with the UK economy likely to enter a recession in the coming quarters and inflation clearly set to fall to 2% next year, the risk of a BoE rate cut forecast tends to start earlier.

11:01

PANews reported on December 2 that, according to Cointelegraph, members of the UK Treasury Select Committee had reservations about launching a retail digital pound, emphasizing the need for thoughtful review before implementation. While recognising the potential advantages of innovation, the Committee urged the Bank of England (BoE) and the Treasury to thoroughly assess the need for such a step, taking into account the associated costs and risks. In the interim, the Commission's report recommends imposing lower initial limits on the value of retail digital pounds to mitigate the risk of potential bank runs during periods of market instability. This specific precautionary measure is designed to discourage the transfer of large amounts of deposits to digital wallets, which could increase the risk of bank failures and increase the cost of lending. The report recommends that if legislation introduces a digital pound, there should be a clear restriction on the use of data obtained through the digital pound by the government and the Bank of England for purposes beyond what has been approved by law enforcement.

12:42

According to the China Academy of Information and Communications Technology, the YD/T 4392.1-2023 "General Capability Requirements for Artificial Intelligence Development Platforms Part 1: Functional Requirements" (hereinafter referred to as the "AI Development Platform Functional Standards") led by the China Academy of Information and Communications Technology (hereinafter referred to as the "China Academy of Information and Communications Technology") has been approved by the Ministry of Industry and Information Technology of the People's Republic of China and will be officially implemented on November 1, 2023. The functional standards for the AI development platform are jointly led by the China Academy of Information and Communications Technology (CAICT) and Baidu, and the industry standards are drafted in the Artificial Intelligence Working Group of the China Communications Standards Association (CCSA TC1 WG1). A total of 30 units, including Alibaba Cloud, Huawei, Tencent Cloud, Jozzon Cloud, Kingsoft Cloud, Yuanting Technology, Industrial and Commercial Bank of China, China Telecom, China Unicom, Hikvision, Immediate Consumption, Dongxin Beiyou, Inspur Information, Xinhua III, Lenovo, China Mobile, Advantech, China Information Technology Group, JD.com, Ant Group, ZTE, SenseTime, Nanjing New Generation, Xiaomi, Tongdun Technology, Zhejiang University of Traditional Chinese Medicine, Xiaoshi Technology, Paidao, and BOE, participated in the relevant compilation work.

02:37

Agencies: There are signs that the Bank of England will not go against the market Traders have ramped up bets on the Bank of England to cut interest rates

Peel, chief economist at the Bank of England, recently said that the expectation that the Bank of England will cut interest rates by 25 basis points for the first time in August next year does not seem completely unreasonable, and traders are beginning to digest the expectation that the Bank of England will cut interest rates further next year. Peel's message, coupled with his prediction that UK inflation will soon be on par with other advanced economies, was the first hint that BoE officials might be satisfied with market expectations. Paul Hollingsworth, chief European economist at BNP Paribas, said the market's response to monetary policy easing was not enough. Starting in June next year, the Bank of England will cut interest rates by 25 basis points at each meeting and to 4% by the end of next year.

01:41

The Bank of England has increased bets on interest rate cuts, and British government bonds have risen

Following the Bank of England (BoE) keeping its policy rate unchanged and cutting its economic growth forecast, gilts rose as markets priced in expectations that the BoE could raise interest rates aggressively next year. Other Eurobonds also moved higher as markets believe that global central banks may ease monetary policy sooner than expected. Mathieu Savary, chief European strategist at BCA Research, said weak economic performance would continue to boost the gilt market in the coming months. "Yields will generally follow the US, but a weaker UK economy means gilts will outperform US Gilts," he said. ”

03:27

Bank of America: UK inflation expectations may have been unanchored

On October 31, Bank of America analysts said in a report that the UK's long-term inflation expectations appear to have been slightly de-anchored compared to the Bank of England's 2% target. Unlike other major economies, the market does not expect the Bank of England to achieve its inflation target in the medium term, they said. "Many of our clients believe that the BoE is behind the curve and is not doing enough to stabilize expectations." BofA said that a slight de-anchoring of inflation expectations could mean that the Bank of England will have to do more to bring inflation back to target.

12:16

Jon Cunliffe, deputy governor of the Bank of England (BOE), said in a speech that the CBDC public consultation received 50,000 letters, focusing on privacy, programmability and cash reduction. Cunliffe said users of digital pounds will get the same level of privacy they enjoy today when making electronic payments, and BOE won't see people's data. Respondents are concerned that the central bank will make the digital pound programmable and limit its functionality – something that will not happen. （CBDC）

09:31

HSBC: The BoE's eventual rate cut may exceed market expectations

Daniela Russell, head of UK interest rate strategy at HSBC, said in a note that the BoE is likely to leave rates unchanged for a long time until "there are sufficient indications that multiple rate cuts are justified before the first cut begins", but once it starts, it could be larger than the market expects. Russell believes that the market is underestimating the likely rate cut over the next two years and is currently expected to be only 85 basis points. However, the latest economic data show that the UK economy is on the brink of recession and BoE members may soon start voting for a rate cut.

08:47

Barclays: UK PMI data is unlikely to change BoE interest rate expectations

The preliminary value of the UK manufacturing and services PMI, scheduled for Tuesday, is unlikely to change market expectations that the Bank of England will keep interest rates unchanged at its November 2 interest rate meeting, Barclays analysts said in a note. Analysts said PMI data are still expected to remain in contraction territory, with last week's UK retail sales data and inflation report showing economic activity is weakening.

08:32

Bank of England Governor Bailey hinted that the road to inflation will continue

(1) Bank of England Governor Andrew Bailey Bailey hinted that despite signs that the UK economy is weakening, policymakers' work in fighting inflation cannot be relaxed. Bailey said wage growth was too fast and inconsistent with the central bank's 2 percent inflation target, adding that food inflationary pressures still had a long way to go. Official data showed a sharp drop in retail sales in September, with a surge in tax revenues brought on by soaring inflation. Overall, these figures suggest that the Bank of England is dealing with significant pressure on prices; (2) Charles Hepworth, investment director at GAM Investments, said that persistently high inflation, unusual temperatures in September and high borrowing costs all indicate that consumers are losing confidence in the direction of the economy. Britain's 2-year yield, which is most sensitive to changes in monetary policy, fell 4 basis points to 4.94 percent, retreating from a one-month high hit on Thursday. Money markets lowered bets on further BoE rate hikes, pricing in the probability of a final 25 basis point hike by early next year to around 60 percent from 90 percent earlier this week

06:21

UK consumer activity is in trouble

Financial website Forexlive said today's weaker-than-expected retail sales data proved once again that UK consumer activity is in trouble. Although inflation is falling according to the Office for National Statistics, it is uncertain whether this will translate into actual consumer activity, but we can see that the difference between retail and retail sales has not narrowed. The pound fell further against the dollar on the data as it reinforced the narrative that the BoE may struggle to pivot to rate hikes again after the latest pause.

07:47

Morgan Stanley: The economy is faltering and the Bank of England will not consider raising interest rates

Bruna Skarica, an economist at Morgan Stanley Research, wrote in a note that the Bank of England is likely to keep interest rates unchanged in the face of a slowdown and reduced price pressures. The latest data on Thursday showed the UK economy rebounded slightly in August, helped by a boost in the services sector and the fading of last month's strike action and the effects of bad weather. Skarica said the UK economy appeared to be losing momentum rather than contracting and should be flat in September and beyond. But downside risks remain, and as the loosening of the labour market eases pressure on wages on prices, the BoE should no longer consider further rate hikes and may cut rates from May next year.

03:16

BoE research warns of risks to financial stability posed by AI

As global leaders and businesses prepare for a major summit on regulating AI technology, an analysis by the Bank of England concludes that AI could amplify financial stability risks and undermine trust in banks. Central banks will need to consider how to reduce AI risks to financial institutions, the study said, and said it expressed concern that the technology could discriminate against customers. Kathleen Blake, who works at the BoE's Fintech Centre, said the potential impact of AI-related risks on companies may not seem significant on its own, but combined with other risks could affect capital and ultimately lead to significant losses. AI could "potentially cause stability issues for financial institutions or the financial system as a whole."

01:11

As global leaders and businesses prepare for a major summit on regulating AI technology, an analysis by the Bank of England concluded that AI could amplify financial stability risks and undermine trust in banks, CaiLian News reported on October 11. Central banks will need to consider how to reduce AI risks to financial institutions, the study said, and expressed concern that the technology could discriminate against customers. Kathleen Blake, who works at the Bank of England's Fintech Centre, said the potential impact of AI-related risks on a company may not seem significant on its own, but combined with other risks it could affect capital and ultimately lead to significant losses. AI could "potentially cause stability issues for financial institutions or the financial system as a whole."

09:07

The golden "Jedi Counterattack", what's the biggest assist? ! Gold trend forecast for the fourth quarter Gold trend forecast: Real yields remain the key driver Real yields remain key driver Falling market demand is weighing on gold prices as real yields continue to rise and the dollar continues to strengthen. Before the end of this year, I think it is unlikely that this situation will change. After years of remaining in negative territory, U.S. real interest rates (the policy rate minus the annual rate of inflation) have now turned positive. Rising nominal interest rates combined with price pressures/moderating inflation expectations have pushed up real interest rates, which increases the opportunity cost of holding a zero-yielding asset—gold. As inflation continues to remain stubbornly high, major central banks around the world have signaled that they will keep interest rates high for longer. U.S. 10-year inflation-protected bond yields & gold demand from major central banks At its September interest rate decision, the U.S. Federal Reserve (also known as the Federal Reserve/FED) opened the door to another interest rate hike and signaled that there would be fewer rate cuts next year than previously expected. The day after the US Federal Reserve's decision, Bank of England (BOE) Governor Andrew Bailey also stated that the central bank will need to keep interest rates high for a longer period of time. At the same time, Christine Lagarde of the European Central Bank (ECB) also expressed that she would not rule out the possibility of further interest rate increases at the September monetary policy meeting. The view of economic soft landing is beginning to gain acceptance, and investors' preference for gold has decreased. Against this backdrop, demand for gold has declined in recent months. Gold purchases by global central banks have begun to fall sharply this year after hitting their highest levels in years last year. Demand for gold from investors, including exchange-traded funds (ETFs), money managers and speculative buying has weakened in recent months. Possible explanations for investors' declining preference for gold include growing concerns that global interest rates will remain high for longer, and the continued consolidation of views that the U.S. economy is avoiding a hard landing. However, shortly after the start of the fourth quarter, geopolitical risks reappeared and market volatility increased, which provided strong support for gold buying. So, does this mean that gold will usher in a great opportunity for an “absolute counterattack” in the fourth quarter? Download the Fourth Quarter Outlook of Gold Trends to view detailed analysis and be fully prepared for investing and buying and selling gold! (Source: Dailyfx-Lisa Yin)

14:53

PANews reported on October 9 that according to China Fund News, Beijing’s popular Qitian International Cultural Technology Development Group Co., Ltd. (referred to as "Danghong Qitian") recently completed hundreds of millions of yuan in Series C financing, funded by Huakong Fund and "China Vision". Valley” Industrial Fund, NetEase, Guoke BOE, CITIC Century Assets, Jiahesheng Capital and Wild Grass Venture Capital jointly invested. After this round of financing, the popular Qitian East China headquarters has also officially settled in Hangzhou, becoming a landmark project of the "China Vision Valley" Metaverse. According to the official website of Danghong Qitian, the famous director Zhang Yimou serves as its co-founder and also serves as the artistic director of Danghong Qitian. According to the official website, Popular Qitian was founded in 2015. It is a national high-tech enterprise and a "specialized, special and innovative" enterprise in Beijing. It is also the XR experience provider for the 2022 Beijing Winter Olympics, Winter Paralympics and the top 20 news centers. . In addition to Zhang Yimou, the other two founders are Qi Xiao and Ma Zihan. Qi Xiao was employed by the Beijing 2008 Olympic Games Organizing Committee, the producer of "Picture Scroll" for the opening ceremony of the 29th Beijing Olympic Games in 2008, one of the producers of the closing ceremony, and was selected as one of China's 40 business elites under the age of 40 by Fortune magazine in 2017. one. Ma Zihan graduated from Hong Kong Baptist University and has participated in the investment of many famous domestic and foreign film and television works, including Cameron's "Deep Sea Challenge". He is currently the co-founder of the popular Qitian Group and the vice president of the Hong Kong Web3.0 Association. Qi Xiao once publicly revealed that this is the first time Zhang Yimou has invested in and joined a company as a founder.

14:50

Golden Finance reported that recently, Beijing Popular Qitian International Cultural Technology Development Group Co., Ltd. (referred to as "Danghong Qitian") completed hundreds of millions of yuan in Series C financing, funded by Huakong Fund, "China Vision Valley" Industrial Fund, NetEase, and Guoke BOE, CITIC Centennial Assets, Jiahesheng Capital and Yecao Venture Capital jointly invested. According to the official website of Danghong Qitian, the famous director Zhang Yimou serves as its co-founder and also serves as the artistic director of Danghong Qitian. According to Tianyancha data, popular Qitian has raised 8 rounds of financing so far. Among them, rounds B to B++ are concentrated between October 2021 and December 2022, which is when investment and financing in the Metaverse is booming. It is worth noting that in these three rounds of financing, Lei Jun’s Xiaomi Group, Ding Lei’s NetEase Capital, and private equity funds from well-known companies such as CITIC Group and BlueFocus all participated. Popular Qitian's positioning is the overall solution and product implementation of "XR content production + vehicle research and development + digital operation", and its business involves "XR + park", "XR + technology show", "XR + e-sports", "XR + sports" and other fields. It was previously reported that in January this year, the popular Qitian, which Zhang Yimou held shares and served as co-founder, raised a B++ round of financing. The amount of financing was unknown. NetEase participated in this round of investment through NetEase Media Technology (Beijing) Co., Ltd.

05:36

According to a report by the Science and Technology Innovation Board Daily on October 7, Beijing's popular Qitian International Cultural Technology Development Group Co., Ltd. completed hundreds of millions of yuan in Series C financing, funded by Huakong Fund, "China Vision Valley" Industrial Fund, NetEase, and Guoke BOE , CITIC Centennial Assets, Jiahesheng Capital and Yecao Venture Capital jointly invested. Multiple parties will jointly promote the creation of comprehensive solutions for metaverse-related technologies, products and application scenarios such as XR and AI.

09:37

Pound continues to fall ahead of BoE decision as inflation weakens

Although the Bank of England is expected to decide to raise interest rates, the pound was stimulated by the broad strength of the dollar after the Fed statement, and losses extended after the UK released weaker-than-expected inflation data on Wednesday. The Federal Reserve left interest rates unchanged, suggesting rates may remain higher for longer. John Hardy, head of foreign exchange strategy at Saxo Bank, said in a report that the dollar rose the most against the pound due to the dual impact of weaker UK CPI and a hawkish Fed. Data showed that the pound fell to a six-month low of 1.2295 against the dollar.

08:53

Gold: European stocks fell, can gold prices "turn around" after rising for three consecutive days? Will long-short divergence and panic drive gold strength? There is no doubt that the market's pessimistic expectations for the European economy are the main reason for the decline in European stock markets. The market is currently focusing on the interest rate policy meetings held by the US Federal Reserve (Fed) and the Bank of England (BoE) this week. The focus of this Federal Reserve interest rate decision lies in two important aspects: first, the peak of the federal funds rate target range; second, the Federal Reserve's interest rate outlook in 2024. Simply put, the market will focus on how high interest rates will go and for how long. The author believes that the current market focus is on the differences between Wall Street and major central banks on the monetary policy process. Wall Street hopes that major central banks will end interest rate increases as soon as possible and turn to interest rate cuts. JPMorgan warned that the S&P 500's 16% gain this year is at risk as real interest rates and the cost of capital move further into restrictive territory. However, due to rising international energy prices and slow declines in rents, U.S. inflation is expected to continue its rebound, while the labor market remains resilient. A series of upcoming developments indicate that the Federal Reserve may maintain high levels for a longer period of time to suppress inflation. Therefore, investors need to be alert to subsequent market risk sentiment and sharp interest rate cuts as U.S. stocks, European stocks and even Asian stocks correct. The question is, how far can gold go amid panic? The author reminds that the 10-year U.S. bond yield currently remains above 4.3%, and it may still take time for real interest rates to fall, which means that the opportunity cost of holding gold in the short term is higher. With the "difference" between European and American economies highlighted, it is expected that market safe-haven funds will flow into the US dollar and support the US dollar's rise, which will hinder the upward trend of gold. The U.S. dollar index currently remains consolidated below 105.5, which is the Gann 2/1 line level. Its gains and losses will be regarded as one of the keys to long and short positions in the mid-term. If the US dollar further breaks through 105.5, it is expected that the upside space will be further opened and put pressure on gold. Gold technical analysis: short sellers have the advantage, be wary of possible downside breaks Gold was supported by US$1,900 and rebounded to US$1,930, but it still faces strong resistance in the area of 1,950-60 US dollars. It is expected to be organized around the 1,900-1,960 US dollars range in the short term, and the gains and losses of 1,930 US dollars as the midline of the range have reference significance for the market outlook. Looking forward to the market outlook, since gold has not risen above the resistance near the Gann 2/1 line of $1,950, it is judged that gold prices will continue to fall since the beginning of May. It cannot be ruled out that it will fall back again to test the support of $1,900 or even $1,870. (Source: Dailyfx-Billy Liao)

01:49

Macro indicators and analysis affecting cryptocurrency price trends this week: Federal Reserve interest rate decision Last week, US inflation data CPI & PPI were higher than expected, but the core inflation data excluding volatile food and energy were basically in line with expectations. The European Central Bank continued to raise interest rates by 25 bps and said that interest rates have not reached their peak; this week We are welcoming the announcement of interest rate decisions from the central banks of the United States, Switzerland, the United Kingdom, Australia and Japan. Regarding the Federal Reserve's decision, the market has basically expected that interest rates will not continue to increase, and the focus may be more on Powell's relevant statements. Last week review ●The year-on-year CPI increase in the United States in August rebounded to 3.7% from 3.2% in July, marking the second consecutive month of rebound in year-on-year growth, exceeding expectations of 3.6%. The core CPI, which excludes energy and food, is what the Fed is more concerned about. The year-on-year growth rate dropped from 4.7% to 4.3%, in line with expectations. The core CPI increased slightly from the previous month's 0.2% to 0.3%, exceeding expectations of 0.2%. Cooling core CPI may ease pressure on the Fed to some extent. ●The U.S. PPI increased by 1.6% year-on-year in August, higher than the expected 1.3%, and exceeded expectations for the second consecutive month. Excluding volatile food and energy, core PPI increased by 2.2% year-on-year in August, in line with expectations, lower than the previous value of 2.4%. Core PPI increased by 0.2% month-on-month, in line with expectations and lower than the previous value of 0.3%. ●The European Central Bank raised interest rates by 25 basis points, and Lagarde said that "interest rates have not reached their peak." This week’s key events & indicators September 19th ●The Reserve Bank of Australia releases the minutes of its September monetary policy meeting (09:30) ●Eurozone August CPI annual rate final value (17:00) September 20 ●The Federal Reserve announces a summary of its interest rate decision and economic expectations (02:00) ●Federal Reserve Chairman Powell holds a monetary policy press conference (02:30) ●Swiss National Bank announces interest rate decision (15:30) ●BoE announces interest rate decision and meeting minutes (19:00) September 21st ●The Bank of Japan announces its interest rate decision and holds a monetary policy press conference (11:00) (Data source: GaryMa)

12:25

Odaily Planet Daily reported that Sarah Breeden, the incoming deputy governor of the Bank of England (BOE), said that the encryption industry does not pose major risks to financial stability for the time being, but if its connection with the financial world deepens further, especially when stablecoins are used for payments , which may pose a significant risk. It is reported that Sarah Breeden has worked for the BOE for a long time. She will help guide the UK to formulate regulatory encryption methods and play a role in deciding whether to issue a central bank digital currency (CBDC). Breeden supports CBDC, arguing that it “will become the anchor for all currencies in the digital world.” (CoinDesk)