What’s in store for markets this week!

After The UK government unveiled their top tax rate cut, setting fire to GBP Cross pairs, prompting an intensive sell-off on the cable

The UK’s turn of events 

After The UK government unveiled their top tax rate cut, setting fire to GBP Cross pairs, prompting an intensive sell-off on the cable. Forcing the Bank of England to intervene by buying 30 year bonds, in order to balance out the bond market. Backlash prompted the new PM Liz truss to withdraw her tax cut plan, sending the pound back to highest level in more than a week above the 1.12 mark targeting the area of 1.14.

In this case, the BOE is no longer set to have an emergency rate hike as speculation in the market murmured. 

And speaking of corrections most major assets have rebounded this week, with the U.S. market set for a quick bounce back, as news of hiking rates again in November by 75 basis points fade with other things in focus, giving the U.S. Dollar index a breather, and making room for stocks to uptick. 

NFP & OPEC+ on radar this week

Focus will fall on the Non-Farm payrolls this week, where they are expected to drop to 265K from 315K in September. The Friday figures are pretty important as they will indicate whether the Federal Reserve’s aggressive monetary policy has weakened the labor market or it still remains solid.

Especially after Powell’s speech after the September FOMC indicated that they expect to see softer readings from the labor market as a consequence to the aggressive tightening. Although so far, the labor market has been quite intact holding strong and reflecting nothing but a strong U.S. Economy. And I think the USD would agree.

On the radar this week too comes OPEC+ and reports of the organization and its allies to cut production, giving support to oil prices after almost 5 weeks of declines. Oil prices were able to move higher on the news. In addition to being supported by lower crude oil inventories. Geopolitical woes have also been a strong factor to backing this decision of cutting output.

WTI was able to break resistance of $81, climbing to above $82 while Brent opened on an upward gap to trade above levels of $88 per barrel. 

Geopolitical Woes

Meanwhile in the Eurozone, Russia’s Gazprom halts gas supplies to Italy making the Energy crisis at the front and center in market news this week. Especially after the IEA warns of more issues to be seen in winter. 

The Yellow-metal has indeed found support amid the current market uncertainties, moving up towards levels of $1685. As investors try to seek shelter from the current volatility in store. Yet its only natural to see markets witness a correction after the few past weeks of sharp declines. 

Read this next

Digital Assets

Himalaya Exchange customers seek release of frozen funds from DOJ

FormerFeds, a corporate defense and litigation service provider, has filed a lawsuit against the U.S. Department of Justice (DOJ) on behalf of over three and a half thousand Himalaya Exchange customers.

Digital Assets

Nubank, Circle, and Talos join forces for crypto adoption in Brazil

Nubank, the Brazilian neobank backed by Warren Buffett’s Berkshire Hathaway and Softbank Group Corp, announced new partnerships with cryptocurrency firms Circle and Talos.

Metaverse Gaming NFT

Flare onboards Ankr, Figment, Restake, and NorthStake as validators

Flare, an EVM smart contract platform known for its focus on blockchain data utility, has announced a major step in its development. The platform has onboarded leading infrastructure providers, including Ankr, Figment, Restake, and NorthStake.

Digital Assets

Sui Joins DeFi Leaders, Topping $100M in Bridged USDC

Sui, the groundbreaking Layer 1 blockchain created by the technology experts who led Meta’s Diem blockchain initiative and created the Move smart contract language, continues its explosive ascent in decentralized finance (DeFi). This week, it surpassed $100 million in bridged USDC. 

Digital Assets

Poloniex hit by UK regulator, listed as ‘unauthorised’ exchange

The UK’s Financial Conduct Authority (FCA) has added the cryptocurrency exchange Poloniex to its warning list of non-authorized companies. Poloniex, which is based in Seychelles, has experienced four hacks in the last two months and is affiliated with entrepreneur Justin Sun.

Industry News

Exclusive Markets is Proudly ISO/IEC 27001:2013 Certified by MSECB for Unparalleled Commitment to Information Security

Exclusive Markets, a leading name in the FINTECH sector, proudly announces the attainment of ISO/IEC 27001:2013 Certification by the MSECB. This esteemed certification highlights Exclusive Markets’ persistent commitment to fortifying information security within its cutting-edge trading technology. 

Digital Assets

SEC is discussing ‘technical details’ of Bitcoin EFTs ahead of approval

Discussions between the U.S. Securities and Exchange Commission (SEC) and asset managers seeking to list Bitcoin exchange-traded funds (ETFs) have reportedly advanced to key technical details.

Digital Assets

Versatus Labs Reaches $50 Million Valuation Following $2.3 Million Seed Funding Round

Versatus Labs, a peer-to-peer web services protocol aiming to help Web2 developers transition to Web3, has completed a $2.3 million funding round at a $50 million valuation led by key investors in the Web3 space including NGC Ventures and Republic Crypto. The latest funding round aims to help the company develop the ‘world’s first stateless roll-up’, Versatus LASR. This follows Versatus Labs’ recent pivot from Layer 1 solutions to Ethereum scaling solutions. 

Digital Assets

Binance ex-chief’s sentencing looms as court accepts his guilty plea

A U.S. district judge has accepted a guilty plea from former Binance CEO Changpeng Zhao (CZ) on charges related to anti-money laundering violations. The plea was accepted by Judge Richard Jones in the U.S. District Court for the Western District of Washington in Seattle.