Powell to Deliver Speech on Friday Evening, Some Traders Lower Rate Cut Expectations
BlockBeats News, August 20: Federal Reserve Chairman Powell is scheduled to deliver a key speech at this year's gathering in Wyoming on Friday evening Beijing time. Meanwhile, the latest release of higher-than-expected inflation data has led some traders to lower their interest rate cut expectations, while still maintaining the judgment of a rate cut next month.
Ian Lyngen, head of U.S. Rate Strategy at BMO Capital Markets, stated in a research report that "as the market prepares for Powell's speech at Jackson Hole, the biggest risk facing the Treasury market is: Fed Chair may pour cold water on the market's widespread expectation of a rate cut in September."
Currently, about 325,000 options positions (costing about $10 million) stand to make a profit of up to $100 million if they correctly predict a 50 basis point rate cut by the Fed at the September policy meeting. In addition, current market pricing indicates an approximately 80% probability of a 25 basis point rate cut at the September 16-17 meeting. (FXStreet)
You may also like

Perp DEX: The Next Generation Exchange "War"

10 Counterintuitive Insights on Latin American Payments

The AI gamble of mining companies: Valuations enter a phase of differentiation, and it's hard to turn the tide

A letter from Alliance to entrepreneurs: Written on the occasion of Cursor selling for 60 billion dollars

Stablecoins Finally Find Real Returns: On-Chain Reinsurance Re Explained | Interview with Re Founder Karan Saroya

The impossible triangle is simply a pseudo problem

Will MicroStrategy fall into a death spiral? What will the macro trend be in the second half of the year?

Blockchain Capital Partner: The Core Secret of Arbitrage

STRC unanchored by 11%, can the perpetual motion machine of Strategy still operate?

Bitcoin Market Analysis 2026: Can BTC Reach $150K by Year-End?

Bitcoin ETF Outflows Hit a Record $4.4 Billion: What Are Traders Doing With Their Cash?

WEEX App Just Got Smarter – New Tabs for Faster Trades & Easy Asset Management

WEEX All-New Search Features: Find, Trade & Earn Faster Than Ever

Morning Report | Illinois signs the strictest digital asset tax law in the U.S.; RWA tokenization market size surpasses $43 billion, institutions accelerate the migration of on-chain assets

Full version of the debut Q&A! Federal Reserve Chairman Waller: Sticking to the 2% inflation target, establishing five special working groups, individual did not submit the dot plot

From Disruptor to Shadow Market: The Crypto Market is Becoming a Colony of Traditional Finance

Dalio's important long article: How to position in the current market environment?

