Surging inflation and weak growth have been plaguing the global economy for months, but the rising CPI and a devaluating national currency first seen in the U.S. have now spread to Europe as well. The European Central Bank (ECB) hiked its base interest rate by 75 bps for the second consecutive time, bringing its deposit…
The macroeconomic picture is deteriorating fast and could push the U.S. economy into recession as the Federal Reserve tightens its monetary policy to tame surging inflation, Bank of America strategists warned in a weekly research note, Reuters reports. Bank of America chief investment strategist Michael Hartnett wrote, in a note to clients, that “Inflation shock”…
If nothing extraordinary happens, the Federal Reserve will raise interest rates and implement “quantitative tightening”, that is to withdraw liquidity from the market, in its fight against the high inflation rate. The question is if Fed’s measures will be enough to push back inflation to normal levels? According to a blogpost from analysts Bitmex Research,…
Bitcoin has so far been very sensitive to any decisions coming from the Federal Reserve, experiencing massive sell-offs in an aggressive reaction to inflation. This has prompted many to worry about how Bitcoin will perform in a rate-rising environment, given the fact that the Federal Reserve is considering 4 interest rate hikes in 2022. While…
This year has been nothing short of a blood bath for bitcoin. The market has not seen a bitcoin (BTC) price this low since July last year. Corrections in 2017, and early 2021 were much shallower – between 20 and 40 percent, whilst July 2021 reached a drawdown of about 54 percent, according to fresh…