{"id":16722,"date":"2023-01-21T23:31:35","date_gmt":"2023-01-21T23:31:35","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/market-trajectories-hinge-on-decision-economics-bitcoin-news\/"},"modified":"2023-01-21T23:31:35","modified_gmt":"2023-01-21T23:31:35","slug":"market-trajectories-hinge-on-decision-economics-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/market-trajectories-hinge-on-decision-economics-bitcoin-news\/","title":{"rendered":"Market Trajectories Hinge on Decision \u2013 Economics Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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Equities, precious metals, and cryptocurrencies have been on a tear during the last three weeks of 2023, and all eyes are now focused on the next Federal Open Market Committee (FOMC) meeting, which is 11 days away. On Friday, Federal Reserve governor Christopher Waller said that he favors a quarter-point benchmark rate increase at the next FOMC meeting. Analysts believe that current market trajectories will be dependent on the outcome of the next Fed meeting.<\/strong><\/p>\n

Markets Still on Edge Ahead of Fed Meeting Despite Equities, Cryptocurrencies, and Precious Metals Rallying in 2023<\/h2>\n

On Saturday, Jan. 21, 2023, at 2:45 p.m. Eastern Time, the global cryptocurrency market capitalization was up 5.87% over the previous day and hovering around $1.06 trillion in value. The leading crypto asset, bitcoin (BTC)<\/a>, had climbed 11.63% higher against the U.S. dollar in the past seven days. The second-leading digital currency in terms of market valuation, ethereum (ETH)<\/a>, had risen 8.33% that week against the greenback. The increase in value of these two crypto assets has also increased the U.S. dollar value of the thousands of digital currencies below BTC<\/a> and ETH<\/a>.<\/p>\n

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BTC<\/a>\/USD on Jan. 21, 2023, at 4:24 p.m. ET. By 4:24 p.m. on Saturday, the global crypto market cap was down to $1.05 trillion, according to market data, with BTC<\/a> trading at $23,133 per coin.<\/figcaption><\/figure>\n

The day prior, on Friday, Jan. 20, equity markets closed the day in the green. The top four benchmark stocks (S&P 500, Dow Jones, Nasdaq, and Russell 2000) ended the day between 1% and 2.66% higher against the U.S. dollar. The Nasdaq Composite was the highest, rising 2.66%, the S&P 500 rose by 1.89%, the Russell 2000 index (RUT) jumped 1.69% higher, and the Dow increased by 1% on Friday. U.S. equities have posted their second consecutive week of gains so far this year. The small-cap stock market index RUT has risen 7.1% this year, with small-cap shares leading the equities race in 2023.<\/p>\n

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Closing percentage rises of the top four benchmark indexes on Friday, Jan. 20, 2023.<\/figcaption><\/figure>\n

Precious metals have done well too with a troy ounce of gold trading for $1,927.30 per unit <\/a>and silver trading for $24.01 per ounce. Like cryptocurrencies and stocks, precious metals have rallied in 2023, erasing the losses that took place in Dec. 2022. Gold enthusiast Peter Schiff believes the price of the precious yellow metal will grow higher this year. \u201cGold is now trading above $1,934, its highest price since April of 2022,\u201d Schiff tweeted<\/a> on Jan. 19. \u201cGold stocks, however, still haven\u2019t even taken out last week\u2019s high. In fact, gold stocks need to rise 30% from here just to get back to where they were trading in April of 2022. This sale may not last long,\u201d he added.<\/p>\n

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New York Spot Price for gold, silver, platinum, palladium, and rhodium as of Friday, Jan. 20, 2023.<\/figcaption><\/figure>\n

Speaking<\/a> with Kitco News, OANDA senior market analyst Edward Moya detailed that gold prices will remain indifferent until the Federal Reserve\u2019s February 2023 meeting. \u201cIt\u2019s going to be choppy,\u201d Moya said. \u201cI\u2019m neutral on gold until the Fed\u2019s meeting on February 1. Major resistance is at $2,000. But I would be surprised if we move above $1,950. We\u2019re likely to consolidate here until the Fed meeting,\u201d the market analyst added. Market analysts and macroeconomic experts have no idea<\/a> what the Fed will do at the FOMC meeting. Some believe an aggressive tightening schedule will continue, while others expect the Fed to ease up and pivot with a \u2018soft landing.\u2019<\/p>\n

The Biden administration and White House economist Heather Boushey told Reuters<\/a> that current leaders do not expect a recession. \u201cThe steps have been taken and it looks like we\u2019re in a very good position to have that soft landing that everyone\u2019s talking about,\u201d Boushey insisted. On Friday, Federal Reserve Governor Christopher Waller told<\/a> reporters at a Council on Foreign Relations conference in New York that he favors a smaller rate hike than the previous seven. So far, the Fed has implemented seven rate hikes in 2022, two of which were half-point rises and five were three-quarter-point increases. Waller can envision a quarter-point increase at the next FOMC meeting next month.<\/p>\n

\u201cI currently favor a 25-basis point increase at the FOMC\u2019s next meeting at the end of this month,\u201d Waller told the press. \u201cBeyond that, we still have a considerable way to go toward our 2 percent inflation goal, and I expect to support continued tightening of monetary policy,\u201d the Fed governor added.<\/p>\n

It\u2019s quite likely that all three major markets (precious metals, cryptocurrencies, and stocks) will react in some way or another after the Fed\u2019s next decision. Many believe the next FOMC meeting decision will be entirely dependent on inflation gauges. U.S. President Joe Biden has been tweeting about the U.S. economy during the course of the weekend as he believes the country is on the road to recovery. \u201cAnnual inflation has fallen for six straight months and gas is down $1.70 from its peak,\u201d Biden tweeted<\/a> on Saturday morning at 10:25 a.m. Eastern Time. \u201cWe\u2019re successfully moving from economic recovery to stable growth,\u201d Biden added.<\/p>\n

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\nTags in this story
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benchmark rate increase<\/a>, Bitcoin<\/a>, BTC<\/a>, Christopher Waller<\/a>, Council on Foreign Relations<\/a>, Cryptocurrencies<\/a>, cryptocurrency market capitalization<\/a>, dow jones<\/a>, economic recovery<\/a>, economics<\/a>, Economy<\/a>, Edward Moya<\/a>, equities<\/a>, equity markets<\/a>, ETH<\/a>, Ethereum<\/a>, Federal Open Market Committee (FOMC)<\/a>, Federal Reserve<\/a>, Global Economy<\/a>, gold<\/a>, gold price<\/a>, Heather Boushey<\/a>, inflation<\/a>, Joe Biden<\/a>, Kitco News<\/a>, market trajectories<\/a>, nasdaq<\/a>, next Fed meeting<\/a>, OANDA<\/a>, Peter Schiff<\/a>, Precious Metals<\/a>, Russell 2000<\/a>, S&P 500<\/a>, silver<\/a>, Silver Price<\/a>, small-cap shares<\/a>, stable growth<\/a>, Stocks rally<\/a>, U.S.<\/a>, U.S. dollar<\/a>, US economy<\/a><\/div>\n<\/div>\n

What do you think the outcome of the next FOMC meeting will be and how do you believe it will affect the current market trajectories for equities, precious metals, and cryptocurrencies? Let us know what you think about this subject in the comments section below.<\/strong><\/em><\/p>\n

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\nJamie Redman <\/h6>\n

\nJamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com<\/a> does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<\/div>\n

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