Fed To Focus On Recession Risk Soon, But Bitcoin Might Not Benefit: QCP Capital
As global financial markets absorb the impact of renewed trade tensions and rising interest rates, QCP Capital notes a critical shift in the Federal Reserve’s focus away from inflation and toward recession risk.
What Happened: In its commentary published on Wednesday, the Singapore-based trading firm said signs of a Fed pivot are emerging, yet Bitcoin (CRYPTO: BTC) has failed to behave like a safe-haven asset in this evolving macro landscape.
“The Fed’s attention is turning toward recession risk,” QCP wrote, citing recent comments from Federal Reserve Governor Christopher Waller, who suggested that inflationary pressures may now be “transitory.”
This follows a volatile bond market, where the 10-year U.S. Treasury yield rose to 4.6% and the 30-year yield surpassed 5%, creating unease across equity and crypto markets.
Despite growing anticipation of Fed rate cuts, markets are pricing in 3.5 cuts …
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