Cryptographic markets avoided rainfall caused by the latest US President Donald Trump’s salvo against the chairman of the Federal Reserve Jerome Powell, in which the stock market fall and dollar still weakened uncertainty.
Stock market markets in the United States ended on April 21 in red, and S&P 500 fell by 2.4%, according to Google Finance, weighty Nasdaq, and Dow Jones lost 2.5%, which is almost 1000 points, i.e. almost 1000 points.
S&P 500 has dropped by over 12% since the beginning of the year, and Nasdaq fell by almost 18% in the American exodus.
The slide of the action occurs after the growing tension between Donald Trump and Jerome Powell and the growing concern of the impact of trading tariffs.
“Trump is called for” preventive interest rate reduction “, Trump wrote On his Truth Social Social Platform on April 21.
“From energy costs, food prices […] Much lower, and most other popular “things”, practically, have no inflation – he added.
Trump repeated his call to reduce interest rates, which Powell, which was marked as “Mr. Late” and “Main lost” by Potus, maintained 4.5%.
Last week, Powell moved to Trump’s trading tariffs, saying that they can lead to a threatening economic mix of rising prices and slowing down or “stagflation”.
Trump responded to the dismissal of the chairman of the Central Bank, stating at that time that his “ending could not come quickly enough”.
The FED is expected to maintain its political approach on May 7, with interest rate markets anticipation According to CME Fed Watch, only 13% chance of reduction of the rate.
The devaluation of the American dollar continues
American dollar index (DXY) – the measure of Greenback’s strength against the basket of leading currencies – this year it also fell by over 10%. This week it fell to three years below 98 April 21, According to to TradingView.
“Everyone needs and wants a weaker dollar to serve their long dollar”, ” commented Founder and general director of Real Vision Raoul Pal on April 22. “This is the purest form of global liquidity and is the largest driving force for the global M2 [money supply] Currently – he added.
Related: The American dollar goes “without” -5 things that you should know in Bitcoin this week
Meanwhile, cryptocurrency markets maintained weekend profits, and the total capitalization remained at the time of writing $ 2.83 trillion.
Bitcoin (BTC) maintains the digital assets market, reaching on April 22 the highest four -week level of USD 88,500.
“In one of the most turbulent periods on global markets, Bitcoin has been impressive immunity for years” commented Bitfinex analysts in the last market update.
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