PANews reported on December 21 that this week, the Federal Reserve finally confirmed the "turn" that the market had long expected. The central bank's statement this week and the update of its economic forecast had a huge impact on the market. Market participants currently expect the Federal Reserve to cut interest rates by about 40 basis points by December 2025, and U.S. Treasury yields rose in response. Bitcoin fell from its all-time high earlier this week. Bitcoin continued its decline in European trading on Friday and once approached $95,000. Earlier, Bitcoin had just set a record high of more than $108,000. This round of decline in the currency circle has a greater impact on altcoins such as Ethereum and Dogecoin. In addition, U.S. exchange-traded funds (ETFs) that directly invest in Bitcoin also ended 15 consecutive days of inflows this week, setting a record of $680 million in outflows, highlighting the shift in market sentiment.
Due to the coming of Christmas, the market will be relatively quiet next week, but there are still some relatively influential data, but due to thin liquidity, market volatility may become large. The following are the key points that the market will focus on in the new week:
Monday 23:00, US Conference Board Consumer Confidence Index for December;
At 21:30 on Thursday, the number of initial jobless claims in the United States for the week ending December 21st will be released.
As for the US dollar, with the overall hawkish bias within the Federal Reserve, it is not expected to easily lose the throne it has gained this year, although the low trading volume during the holiday season may cause some unnecessary volatility. In general, if there is any market turmoil during the holiday season, it is more likely to hit US stocks and US bonds. The Fed's hawkish stance has not been welcomed by Wall Street, and the sell-off may intensify as US Treasury yields continue to climb.
