Tag Archives: markets

Markets on the move: Trade talks, housing slumps, and crypto whales stirring

Markets on the move: Trade talks, housing slumps, and crypto whales stirring

The European Union and the United States are inching closer to a trade deal that’s been keeping everyone on edge. The big headline is a proposed 15 per cent tariff on EU goods heading into the US. That’s a hefty number, but it’s not as brutal as the 30 per cent or even 50 per cent tariffs that were floating around earlier in Trump’s talks.

According to Reuters, diplomats say this deal might mirror one the US just struck with Japan, with some carve-outs for things like aircraft, alcoholic spirits, and medical devices. The EU’s been scrambling to make this palatable, offering to drop its own tariffs to zero on certain items. It’s a high-stakes chess game, and the final move depends on what Trump scribbles on his notepad next.

But the EU isn’t just sitting back waiting for the hammer to drop. They’ve got a counterpunch ready: €93 billion in tariffs on US goods, set for a vote this Thursday. Think poultry, cars, planes, and even tech services, all in the crosshairs. France is pushing hard for this, and there’s broad support to flex the EU’s anti-coercion tool if Trump cranks the tariffs up to 30 per cent. It’s a bold stance, showing the EU is not afraid to hit back. I think this brinkmanship could either force a better deal or spark a messy trade war, depending on how far each side’s willing to push.

Across the Pacific, Japan’s playing a different game. They’ve pledged a massive US$550 billion investment in the US, opening their markets to American goods as part of a new trade pact. That’s a huge win for the US, and it’s got a ripple effect, with a deal involving the Philippines in the mix too. Treasury Secretary Scott Bessent seems pretty chill about it all, saying there’s no rush to shake up the Federal Reserve leadership. It’s a sign the focus is squarely on trade and growth right now.

Closer to home, the US housing market’s throwing us a curveball. Existing-home sales dropped 2.7 per cent in June 2025, hitting an annual rate of 3.93 million units, the lowest since September 2024. Analysts were expecting 4.01 million, so this miss stung. Single-family homes took the brunt, falling three per cent, while condos and co-ops held steady at 360,000 units.

Here’s the kicker: despite fewer sales, the median home price soared to a record US$435,300. To me, that screams affordability issues. People want homes, but the prices are out of reach, and it’s a red flag for the broader economy if this keeps up.

Equities: Markets riding the trade wave

Now, let’s talk stocks, because the markets are loving this trade optimism. In the US, it’s a mixed bag but mostly upbeat. On Wednesday, the Dow climbed 1.14 per cent, the S&P 500 gained 0.78 per cent, and the Nasdaq Composite rose 0.61 per cent, all fuelled by hopes of smoother trade relations and solid earnings from big players.

Thursday’s futures were a bit of a rollercoaster, though. Nasdaq 100 and S&P 500 futures ticked up 0.4 per cent and 0.1 per cent, thanks to Alphabet jumping two per cent. But Tesla’s 4.5 per cent tumble after weak auto revenue numbers and IBM’s five per cent slide from missing Q2 software targets dragged Dow futures down 0.3 per cent. It’s a tug-of-war, but the overall vibe is positive.

Over in Hong Kong, the Hang Seng’s on fire, surging 408 points, or 1.6 per cent, to 25,538 on Tuesday. That’s four straight gains and the highest close in nearly four years. Everything from tech to consumer goods is riding the wave, and traders are buzzing about upcoming US-China talks in Stockholm. Add in rising turnover in China’s markets and a four-month peak in margin financing, and you’ve got a recipe for bullishness.

Japan’s stealing the show, though. The Nikkei 225 rocketed 3.51 per cent to 41,171, and the Topix jumped 3.18 per cent to 2,926 on Wednesday, hitting one-year highs. Trump’s trade deal with Japan, tied to that US$550 billion investment and a 15 per cent tariff on their exports, lit the fuse.

Automakers went wild, Toyota up 14.3 per cent, Honda 11.2 per cent, and Nissan 8.3 per cent. Financials and industrials joined the party too. I see this as a classic case of markets betting big on trade unlocking growth, but it’s worth wondering if the hype might cool if deals stall.

FX, commodities and fixed income

Switching gears to currencies, the Australian dollar’s having a moment, climbing to 66 cents. That’s a nice little lift, and it’s all about the risk-on mood sweeping through markets. When trade talks look promising, investors get bold, and the Aussie dollar tends to catch that wind. It’s a small but telling sign of how interconnected these global shifts are.

In the commodities corner, US copper futures are flexing some serious muscle, hitting a record premium of nearly 30 per cent over London Metal Exchange prices. Why? Supply’s tight, demand’s up from infrastructure projects, and trade tensions are messing with the usual flow. Copper’s a bellwether for industrial activity, so this spike tells me the US economy’s got some juice, even if it’s wrestling with global disruptions.

For the bond crowd, the 10-year US Treasury yield’s making waves, climbing back above its 200-day average. That’s a shift worth noting. It suggests investors are feeling more confident about growth, shrugging off the housing slump for now. Higher yields can mean tougher borrowing costs ahead, but they also reflect a bet on a stronger economy. I’m curious how long this optimism holds if trade talks hit a snag.

Crypto: The Bitcoin whale stirs

Finally, let’s dive into the wild world of crypto. A Bitcoin whale just made headlines, moving a US$469 million stash after sitting on it for 14 years. Back in 2011, this investor, or maybe a company, scooped up over 3,962.6 BTC, per Arkham Intelligence data. It barely budged until Thursday morning Eastern Time, when it shifted to a fresh wallet with no prior action. No exchange tags, no big clues, just a massive move that’s got everyone guessing. Is it a cash-out? A security shift? We don’t know yet.

Bitcoin’s been flirting with a breakout, but it’s stuck under a key ceiling on the long-term power law chart. This isn’t your typical indicator, it uses logarithmic scales on price and time to map BTC’s wild ride. Right now, US$122,000 is the line in the sand. Break that, and we could see a full-on bull run. I think this whale’s timing is no coincidence; it’s a signal that big players are watching the same levels we are. Crypto’s still a rollercoaster, but moments like this remind us how much potential and risk are baked in.

My take on all this

Stepping back, I see a world economy that’s buzzing with possibility but teetering on some shaky ground. The trade deals with the EU, Japan, and beyond are pumping life into stocks and currencies, and that’s exciting. Copper’s premium and rising yields back up the growth story. But the housing data’s a buzzkill, affordability’s a real hurdle, and it could drag consumer spending down if it festers. Crypto’s a wildcard, that whale move could be a spark or just noise.

My gut says we’re in a sweet spot for now, but any misstep in trade talks could flip the script fast. What do you think, are we riding a wave or waiting for a wipeout? Either way, it’s a hell of a ride!

 

 

Source: https://e27.co/markets-on-the-move-trade-talks-housing-slumps-and-crypto-whales-stirring-20250725/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

www.anndy.com
j j j

What’s next for markets: Navigating trade threats, earnings, crypto and central bank signals

What’s next for markets: Navigating trade threats, earnings, crypto and central bank signals

Reports indicate that US President Donald Trump has intensified his demands on the EU, pushing for tariffs of at least 15 per cent to 20 per cent on imports from the bloc after weeks of negotiations aimed at securing a new trade deal. This bold move has subdued global risk sentiment, as investors grapple with the prospect of a potential trade war that could disrupt supply chains, elevate costs, and hinder economic growth worldwide.

I view this as a pivotal moment that could redefine international trade dynamics and impact a broad range of markets, from equities to cryptocurrencies.

The catalyst: Trump’s tariff demands and their broader implications

Trump’s escalation of tariff demands marks a significant shift in US-EU trade relations. After weeks of talks, the insistence on a 15 per cent – 20 per cent tariff suggests a hardening stance, potentially unravelling years of efforts to maintain relatively open trade between these economic powerhouses. This move reflects a broader strategy of economic nationalism, prioritising domestic industries over global cooperation.

However, it’s a high-stakes gamble. The EU, a major trading partner for the US, may retaliate with its tariffs, sparking a tit-for-tat escalation that history shows rarely benefits anyone in the long run. The mere threat of such a trade war has already injected uncertainty into markets, as businesses and investors brace for higher costs and reduced profitability.

The global risk sentiment, already fragile due to geopolitical tensions and uneven post-pandemic recovery, has taken a noticeable hit. Investors are shifting toward a risk-off stance, prioritizing safety over chasing high returns. It isn’t surprising that trade wars tend to dampen economic growth by disrupting the flow of goods and increasing inflationary pressures.

My view is that while Trump’s demands may aim to protect American jobs, they risk alienating allies and destabilizing an interconnected global economy at a time when resilience is sorely needed. Let’s examine how this sentiment is unfolding across various markets.

Equity markets: A mixed bag of caution and resilience

The major US equity indexes closed last Friday with a mixed performance, reflecting the uncertainty surrounding Trump’s tariff threats. The S&P 500 dipped slightly by 0.01 per cent, a negligible decline that hints at cautious optimism in some corners.

The Nasdaq, buoyed by tech-heavy stocks, edged up by 0.05 per cent, suggesting that investors still see resilience in technology sectors less immediately tied to trade flows. Meanwhile, the Dow Jones Industrial Average fell by 0.32 per cent, reflecting greater concern among traditional industries, like manufacturing, that could bear the brunt of tariff-related disruptions.

Looking beyond the US, Asian equity markets ended mostly higher last Friday but opened mixed in today’s early trading session. This inconsistency mirrors the global nature of the trade tensions, with some regions hopeful for a resolution and others wary of the fallout.

Interestingly, US equity index futures are pointing to a higher open today, which could indicate a short-term rebound or simply a pause in the pessimism. From my perspective, this mixed response suggests that while markets aren’t in full panic mode, there’s an undercurrent of unease.

Investors appear to be hedging their bets, waiting for clearer signals, perhaps from upcoming earnings or policy announcements, before committing fully to a bullish or bearish outlook.

Bond markets: A flight to safety

The bond market offers a clearer picture of investor sentiment. Yields on US Treasuries ended lower last Friday, with the 10-year Treasury yield dropping four basis points to 4.42 per cent and the two-year yield falling by the same margin to 3.87 per cent. Since yields move inversely to bond prices, this decline signals a surge in demand for these safe-haven assets.

Two factors appear to be driving this shift: dovish remarks from Federal Reserve Governor Christopher Waller and lower-than-expected consumer inflation expectations from the University of Michigan sentiment survey.

Waller’s comments likely hinted at a more accommodative monetary policy, a soothing prospect amid trade uncertainties. The Michigan survey, showing tempered inflation outlooks, further eases pressure on the Fed to hike rates aggressively, making Treasuries even more attractive.

In my opinion, this flight to safety underscores a market bracing for turbulence. Investors are prioritising capital preservation over riskier bets, a classic response to geopolitical and economic headwinds. It’s a prudent move, but it also highlights the fragility of confidence right now.

Currency and commodities: Safe havens shine

The foreign exchange and commodities markets are equally telling. The US Dollar Index slipped by 0.27 per cent, a modest retreat that aligns with the dovish Fed signals and a broader risk-off mood. A weaker dollar often accompanies uncertainty, as investors diversify into other currencies or assets. Gold, the quintessential safe-haven, rose by 0.4 per cent to US$3,353 per ounce, a clear sign of heightened anxiety.

I see this uptick as a natural reaction, gold thrives when trust in fiat currencies or economic stability wavers, and Trump’s tariff demands certainly fit that bill.

Meanwhile, Brent crude oil edged down by 0.3 per cent, a subtle but significant move. Oil prices are sensitive to demand expectations, and this dip suggests markets are factoring in a potential economic slowdown if trade barriers escalate. These shifts, while small, are early warning signs. If trade tensions persist, we could see more pronounced movements in commodities, particularly if global growth forecasts sour.

Cryptocurrencies: A divergent path

Turning to cryptocurrencies, the picture is more nuanced. Bitcoin, after reaching a record high of US$123,218 last week, has entered a consolidation phase between US$116,000 and US$120,000. As of Monday, it’s trading around US$117,800.

Technical indicators paint a cautious outlook: the Relative Strength Index (RSI) on the daily chart has fallen from an overbought level of 70 to 64, signalling a fading of bullish momentum, while the Moving Average Convergence Divergence (MACD) nears a bearish crossover. If Bitcoin slips below US$116,000, it might retest its 50-day Exponential Moving Average at US$110,297. But a close above US$120,000 could spark a rally back toward its peak.

Ethereum, by contrast, is showing strength. It surged 26.40 per cent last week, closing above a key resistance at US$3,730 on Sunday, and hovers around US$3,739 as of Monday. With an RSI of 86, well into overbought territory and a bullish MACD crossover from early July still holding, Ethereum’s momentum is robust. If it holds above US$3,730, the US$4,000 mark is within reach. Ripple’s XRP, finding support at US$3.40, also hints at a potential rally continuation.

From my perspective, cryptocurrencies are carving out a distinct narrative. Unlike traditional markets, they’re less directly tied to trade policies, offering a hedge against uncertainty. Ethereum’s surge, in particular, suggests that investor appetite for digital assets remains strong, perhaps driven by innovation and decentralisation rather than macroeconomic fears. That said, Bitcoin’s sideways trading reflects indecision; traders are waiting for a catalyst, and Trump’s tariffs could indirectly sway sentiment if they tank broader markets.

A noteworthy development in this context is Block, co-founded by Jack Dorsey, joining the S&P 500 index this week. Formerly Square, Block is deeply entrenched in the crypto space through its Bitkey self-custody Bitcoin wallet and Proto Bitcoin mining products.

Since last summer, it has been reinvesting 10 per cent of its Bitcoin profits in BTC on a monthly basis and has open-sourced its treasury blueprint. This move not only elevates Block’s profile but also bridges the traditional finance and cryptocurrency sectors. It’s a sign of the growing legitimacy of digital assets. Block’s inclusion could bolster confidence in Bitcoin, especially if trade tensions prompt investors to seek alternative stores of value.

Looking ahead

The week ahead will be critical. The US earnings season expands to include the ‘Magnificent Seven’ tech giants: Apple, Microsoft, Amazon, Alphabet, Meta, Nvidia, and Tesla. Their performance could either offset trade-related gloom or amplify it if results disappoint.

The European Central Bank meets Thursday, with rates expected to hold steady, but its commentary will be dissected for clues on how it views the tariff threat. Economic data, from inflation to manufacturing, will also shape the narrative.

This is a time for vigilance. The interplay of earnings, central bank moves, and economic data will either stabilise markets or deepen the uncertainty. I’d lean toward a balanced approach of holding safe havens like gold and Treasuries while keeping an eye on crypto’s upside potential.

Non-financial advice as always.

 

Source: https://e27.co/whats-next-for-markets-navigating-trade-threats-earnings-crypto-and-central-bank-signals-20250721/

 

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

www.anndy.com
j j j

Trump’s Fed firing threat shakes markets: A deep dive into the economic fallout

Trump’s Fed firing threat shakes markets: A deep dive into the economic fallout

The most striking development in this saga is the report that President Trump drafted a letter to fire Federal Reserve Chair Jerome Powell and shared it with House Republicans during a private meeting.

This move, if true, signals a potential escalation in Trump’s long-standing frustration with Powell, whom he has criticised for not aligning Fed policies, particularly interest rate decisions, with his economic agenda. Sources indicate that Trump sought input from the lawmakers, many of whom reportedly supported the idea of ousting Powell.

However, Trump later walked back these reports, stating he’s “not planning on doing anything” and deeming it “highly unlikely” he would fire Powell unless there were extreme circumstances like fraud. He even denied drafting the letter, despite earlier accounts suggesting otherwise.

This episode is more than just political theatre. It raises serious questions about the independence of the Federal Reserve, a cornerstone of US economic stability. The Fed’s autonomy allows it to make monetary policy decisions based on data and long-term economic health, free from short-term political pressures.

If Trump were to follow through on such a threat, it could erode confidence in the Fed’s ability to act impartially, potentially destabilising financial markets and undermining the US dollar’s global standing.

Even the mere suggestion of such an action has already sparked volatility, as markets grapple with the uncertainty of a politically influenced central bank. Trump’s history of clashing with Powell, particularly over his desire for lower interest rates to stimulate growth, adds context to this tension; however, the draft letter, if it exists, marks a bold step toward direct intervention.

On the economic front, several key indicators provide additional layers to this story. US producer prices (PPI) in June 2025 remained flat, missing expectations of a 0.2 per cent increase after a revised 0.3 per cent rise in May. This stagnation was driven by a 0.1 per cent dip in service prices, highlighted by a sharp 4.1 per cent drop in traveler accommodation costs, offset by a 0.3 per cent rise in goods prices, the largest since February, fuelled by an 0.8 per cent jump in communication equipment.

Flat producer prices suggest that inflationary pressures may be cooling at the wholesale level, which could ease some of the Fed’s concerns about overheating. However, this comes on the heels of a hotter-than-expected consumer price index (CPI) reading earlier in the week, creating a mixed inflation picture that complicates the Fed’s next moves.

Across the Atlantic, UK inflation rose to 3.6 per cent in June 2025, the highest level since January 2024, up from 3.4 per cent in May and exceeding forecasts. This spike was primarily driven by a 1.7 per cent increase in transport costs, with motor fuel, airfares, rail fares, and vehicle maintenance all contributing. Rising UK inflation could pressure the Bank of England to tighten monetary policy, potentially strengthening the pound and influencing global capital flows.

Meanwhile, US industrial production rose 0.3 per cent in June, surpassing expectations of a 0.1 per cent gain after two flat months. Manufacturing edged up 0.1 per cent, while utilities surged 2.8 per cent, boosted by a 3.5 per cent rise in electricity generation. This resilience in industrial activity signals underlying economic strength, though trade tensions and tariffs could pose risks to sustained growth.

Equities: A relief rally in the US, struggles elsewhere

The equity markets have responded swiftly to the Trump-Powell saga. In the US, stocks closed higher on Wednesday after Trump quelled fears of removing Powell, offering a soothing balm to investors rattled by earlier reports. The S&P 500 climbed 0.3 per cent, the Dow Jones Industrial Average gained 231 points, and the Nasdaq 100 rose 0.1 per cent to a record close.

This uptick reflects a relief rally, as markets had dipped earlier on concerns that Powell’s ouster could disrupt monetary policy stability and exacerbate inflation and trade worries. The flat PPI data also helped calm nerves after Tuesday’s hotter CPI reading, suggesting that inflationary pressures might not be as intense as feared.

On the corporate side, results were mixed: Goldman Sachs rose one per cent after beating profit estimates, while Johnson & Johnson soared 6.2 per cent on strong earnings and an upgraded outlook. In contrast, Bank of America fell 0.3 per cent on weak revenue, and Morgan Stanley dropped 1.3 per cent despite solid earnings.

In Europe, however, the mood was less upbeat. Frankfurt’s DAX slipped 0.2 per cent to 24,048, marking its fifth consecutive loss amid trade uncertainty and disappointing earnings. Hopes for a softer tariff deal faded as Trump renewed threats to expand tariffs to pharmaceuticals and semiconductors by August 1 under his “reciprocal” tax plan.

The EU Trade Commissioner, Maros Sefcovic, is set to visit Washington to negotiate the US’s proposed 30 per cent tariff, underscoring the high stakes for European exporters. Automakers bore the brunt of the decline, with Volkswagen down 3.7 per cent, Porsche AG off three per cent, and Mercedes-Benz losing 1.9 per cent. Chemical distributor Brenntag also fell 2.6 per cent after a Deutsche Bank downgrade. These losses highlight how Trump’s trade policies are casting a long shadow over European markets.

In Hong Kong, the Hang Seng Index fell 0.3 per cent to 24,518, snapping a four-day winning streak after hitting a four-month high earlier in the session. Traders took profits as US futures weakened following June inflation data, which hinted that tariffs might be pushing prices higher and reducing expectations for Fed rate cuts.

Trump’s signals of potential tariffs on pharmaceuticals by the end of July, with semiconductors possibly next, added further pressure. Notable losers included Pop Mart International (-4.3 per cent), Zhejiang Leapmotor Tech (-3.0 per cent), KE Holdings (-2.7 per cent), and China Longyuan Power (-2.5 per cent). The pullback reflects broader concerns about how US trade policy could disrupt Asian markets, particularly those tied to global supply chains.

FX: Dollar volatility and global currency shifts

The foreign exchange market has been a rollercoaster amid these developments. The US dollar (USD) initially dipped on reports that Trump might fire Powell, as investors worried about the implications for Fed independence and continuity of monetary policy. The dollar index (DXY) fell below 98.40, reflecting this unease.

However, the USD rebounded after Trump denied the claims, and the soft PPI data bolstered confidence that inflation might remain in check. This recovery underscores the dollar’s sensitivity to both political headlines and economic fundamentals.

The euro (EUR) capitalised on the dollar’s early weakness, briefly rising above US$1.17, but later pared its gains as Powell-related uncertainty lingered, settling around US$1.1630. The British pound (GBP) strengthened to above 1.34, buoyed by the softer dollar and a temporary lift from UK inflation data, which hinted at potential Bank of England action.

In Japan, the yen weakened against the dollar, with USDJPY climbing to 148.20, as exports fell 0.5 per cent year-over-year in June, missing expectations of a 0.5 per cent gain. This decline was driven by an 11.4 per cent drop in exports to the US and a 4.7 per cent fall to China, though exports to the EU rose 3.6 per cent. Imports, meanwhile, rose 0.2 per cent year-over-year, defying forecasts of a 1.1 per cent drop. These trade figures highlight the challenges facing export-driven economies amid global trade tensions.

Commodities mixed, yield curve steepens

In the commodities space, gold rose, snapping a two-day slide, as investors sought safety amid the uncertainty surrounding Powell. The metal surged as much as 1.6 per cent before trimming gains after Trump’s denial, reflecting its role as a haven asset. Oil edged higher after a three-day slide, with West Texas Intermediate (WTI) near US$67 and Brent below US$69, driven by mixed US inventory data. Crude stockpiles fell, but distillate inventories rose, amid ongoing trade war concerns.

In the bond market, the spread between 5-year and 30-year US Treasury yields widened to 108 basis points, the steepest since 2021. This steepening yield curve could signal expectations of stronger growth and higher inflation ahead, though it may also reflect uncertainty about the Fed’s future path under political scrutiny.

Cryptocurrencies: Bitcoin and Ethereum in focus

Bitcoin (BTC-USD) is consolidating below US$120,000 after hitting an all-time high of US$123,091 earlier in the week, closing flat at US$118,600. A bearish engulfing candle and declining volume, from US$180 billion on July 14 to below US$100 billion by July 15, suggest market indecision. Support sits at US$117,000, with a potential drop to US$114,400-US$112,000 if breached. Despite this, spot Bitcoin ETF inflows surged to US$799 million on Wednesday, signalling robust long-term demand.

Ethereum (ETH-USD) soared 15 per cent in three days after Peter Thiel disclosed a 9.1 per cent stake in BitMine, a crypto miner holding 164,000 Ether worth US$500 million. This news has electrified the crypto space, underscoring growing institutional interest.

My take: Implications and outlook

Recent developments indicate that we are at a pivotal moment in the global economy. Trump’s suggestion of firing Powell raises concerns about the independence of the Federal Reserve, a move that could lead to long-term market instability if it were to occur.

The current mixed economic signals from flat US Producer Price Index (PPI) and rising inflation in the UK, to solid industrial production, suggest that the global economy is in a state of flux, with unpredictable trade policies adding to the uncertainty.

In the US, equities show resilience, while other markets exhibit vulnerabilities. The fluctuations in the dollar underscore its crucial role in global finance. Commodities and cryptocurrencies present both opportunities and risks, with gold and Ethereum standing out amid this uncertainty.

Looking ahead, the relationship between politics and economic policy will be vital. If Trump decides to back off, the markets may stabilise; however, any renewed pressure could lead to increased volatility.

Key economic data releases, such as US retail sales and the Eurozone Consumer Price Index (CPI), will further influence the situation. For now, the world is watching closely, and I will continue to analyse the data to provide a clear perspective on what lies ahead.

 

Source: https://e27.co/trumps-fed-firing-threat-shakes-markets-a-deep-dive-into-the-economic-fallout-20250718/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

www.anndy.com
j j j