Middle East Tensions and Hawkish Fed: The Dual Threat to Risk Assets as FOMC Meets

The oil futures already spiked between 4% to 7% before stabilizing slightly FOMC meeting is scheduled for tonight, where it’s expected that the Fed will hold rates steady at approximately 4.50% All major cryptocurrencies have suffered a small price drop of around 1% to 2% in the last 24 hours The Israel-Iran conflict enters day six, and once again, the ongoing missile exchanges have raised serious concerns about a possible disruption or blockade of the Strait of Hormuz. That chokepoint is vastly important for global oil shipments, and the oil futures already spiked between 4% to 7% before stabilizing slightly. Geopolitical Jitters and the Oil Factor Naturally, the fear of escalation is present, and any disruption in the strait could cause the oil prices to surge, which would likely impact all kinds of markets, crypto included. Then, there’s the FOMC meeting tonight, where crypto enthusiasts hope for some good news, even though the Fed is expected to hold rates steady at 4.50%. Due to the current geopolitical risks, it’s expected that the meeting will have a more hawkish tone to acknowledge inflation risks from oil supply concerns. … The post Middle East Tensions and Hawkish Fed: The Dual Threat to Risk Assets as FOMC Meets appeared first on Coin Edition .

Source: Coin Edition