Federal Reserve to release minutes from Kevin Warsh’s first FOMC meeting at 2 p.m. today

The post US Dollar: Warsh risks skewed to cuts – Commerzbank appeared on BitcoinEthereumNews.com. Commerzbank’s Antje Praefcke argues that interest rate differentials are again driving the Dollar, with USD reacting strongly to weaker US data as markets reassess new Fed Chair Kevin Warsh. She suggests limited scope for further hikes but growing risk of earlier rate cuts, leaving USD more vulnerable to negative data than supported by positive surprises. Fed uncertainty weighs on Dollar outlook “Nevertheless, in my view, the risks are asymmetrically distributed. Despite the hawkish surprise at the start of his tenure, the risk is likely growing that, in the face of weak data and falling inflation, Warsh will want to cut interest rates faster and more aggressively. Even if the USD is likely to hold up well for now, it will probably suffer more from weak data than it will appreciate from positive data.” “This is because there is hardly any room for expectations of further rate hikes amid fa

Prolonged inflation may strain U.S. economic stability, complicate diplomatic efforts, and limit Federal Reserve's policy flexibility through 2027. The post Iran war to drive US inflation through 2027, IMF warns appeared first on Crypto Briefing.

The post Bitcoin Price Rebound Faces Fed Heat as Bond Yields Bite Hard appeared on BitcoinEthereumNews.com. Key Insight Bitcoin price bounced after Warsh flagged sticky inflation. Bond yields pulled capital toward fixed-income assets. ETF outflows kept BTC price bulls under pressure. Bitcoin price reacted higher on Wednesday after U.S. Federal Reserve Chair Kevin Warsh flagged stubborn inflation. The move gave Bitcoin crypto traders brief relief, but bond yields and tech strength capped confidence. The rebound came as investors priced higher returns from U.S. debt markets. That shift mattered because Bitcoin price competes with bonds, cash, gold, and growth stocks for capital. Bitcoin Price Bounce Met Bond Yield Pressure TradingView charts showed the U.S. five-year Treasury yield rose to 4.22%. Traders demanded higher compensation to hold government debt as inflation concerns stayed active. Gold vs. US dollar strength chart. Source: TradingView The move pressured non-yielding assets be

The post Swiss Franc holds losses as fresh US-Iran tensions support the US Dollar appeared on BitcoinEthereumNews.com. The Swiss Franc (CHF) nurses minor losses against the US Dollar (USD) on Wednesday but is depreciating nearly 0.7% so far this week. The USD/CHF pair has steadied at the upper range of the 0.8000s, buoyed by investors’ concern about the resumption of hostilities in Iran and markets’ cautiousness ahead of the release of the minutes of the latest Federal Reserve (Fed) monetary policy meeting. US President Donald Trump rattled markets earlier on the day, affirming at the NATO summit in Turkey that the ceasefire between the US and Iran is over and that he does not want to deal with Tehran any more, as “they’re scum”. These comments follow a series of reciprocal attacks earlier on the day and the US revocation of Iran’s authorisation to export crude. The market reaction has been moderate so far, but has provided some support to the Greenback to pick up against most peers, y

The post US Dollar: FOMC minutes to highlight hawkish debate – TD Securities appeared on BitcoinEthereumNews.com. TD Securities strategists preview the June Federal Open Market Committee (FOMC) Minutes, expecting more insight into the policy debate than provided by Chair Warsh’s press conference. They highlight internal disagreement over whether policy is sufficiently restrictive as inflation risks rise, with many officials seeing scope for both hikes and a pause, and most potentially favoring renewed tightening if inflation continues to surprise higher. Minutes to reveal policy divisions “The June FOMC minutes may reveal more about the policy debate than Chair Warsh did at his press conference.” “The apparent “family fight” likely focused on whether policy was restrictive enough given rising inflation risks.” “While “many” participants likely saw a case for both hikes and holding steady this year, the Committee’s recent hawkish tilt suggests “most” could have favored renewed tightenin

The post EUR/USD Price Forecast: Euro hesitates above 1.1400 as geopolitical risks mount appeared on BitcoinEthereumNews.com. The Euro (EUR) shows marginal losses against the US Dollar (USD) on Wednesday and has returned to levels just above 1.1400 during the European trading session after rejection at 1.1430. A new round of hostilities in Iran and investors’ cautiousness ahead of the release of the minutes of the latest Federal Reserve (Fed) meeting are keeping Euro bulls in check. US President Donald Trump affirmed earlier on Wednesday that the ceasefire is over and that, in his view, the memorandum of understanding is no longer in effect. These comments follow a fresh bout of reciprocal attacks between the US and Iran, and the revocation of the US authorisation to sell Iranian Oil. The market reaction has been tame so far, as investors continue to view these events as manoeuvres to gain leverage in the negotiation process. Beyond that, investors remain wary of placing large directio

The post US Dollar: Fed pricing questioned as disinflation looms – MUFG appeared on BitcoinEthereumNews.com. MUFG’s Derek Halpenny argues that June FOMC minutes may already be stale as weaker labour data and lower energy prices challenge the Fed’s hawkish dot plot. He sees OIS pricing as too aggressive, with rate hikes over-priced and a rate cut by March 2027 more likely than another hike. Dollar strength, he says, has been driven by rate spreads and leveraged long positioning, but this may reverse if disinflation resumes. Fed expectations and Dollar positioning “The FX market is increasingly being driven once again by rates spreads with our rolling correlations indicating that and the Fed rate hike pricing has been the key driver of renewed US dollar buying. A lot of this pricing appears driven by the perception that Fed Chair Warsh has been hawkish. But apart from reaffirming the pursuit of achieving the Fed’s 2% inflation goal there is limited evidence to point to of Warsh being par

The post Dow Jones futures fall on increasing risk aversion, FOMC Minutes awaited appeared on BitcoinEthereumNews.com. Dow Jones futures decline 0.40% to trade around 52,980 during European trading hours on Wednesday. Meanwhile, S&P 500 futures and Nasdaq 100 futures fall 0.17% and 0.14%, trading near 7,540 and 29,350, respectively. Global financial markets are on edge as plunging US stock futures signal deep investor anxiety ahead of Wednesday’s highly anticipated release of the FOMC Meeting Minutes. This release marks the first under newly appointed Fed Chairman Kevin Warsh, and traders are aggressively parsing the landscape for critical clues regarding the future path of US interest rates. This US central bank watching is unfolding against a backdrop of severe geopolitical escalation in the Middle East. Risk aversion spiked across global boards following US airstrikes in southern Iran, a direct military intervention responding to previous Iranian attacks on commercial shipping vesse