đš FOMC Preview â Big Week Ahead for Markets
The Fed will announce its rate decision tomorrow at 2:00 PM ET, with markets pricing in a 25 bps cut â so no big surprise expected there.
What really matters: Powellâs speech at 2:30 PM ET.
Hereâs the setupđ
â U.S. job market remains too strong
â Last weekâs CPI came in lower than expected
â Economic activity is slowing after the government shutdown
All this points toward a more dovish Powell.
But hereâs the real story â for the first time in 2025, Fed reserves just dropped below $3T, signaling the central bank could be preparing to end QT.
Both JP Morgan and Goldman Sachs expect QT to officially end this Octoberâs FOMC meeting.
If that happens, it would mark the first major ârisk-onâ signal since Q3 2019.
My view: this FOMC will be decisively dovish, and it could fuel the next leg of the bull run across risk assets â especially Bitcoin and crypto. đ


