Macro Update
Crypto rally continues: A short-squeeze this week has reignited enthusiasm for cryptocurrencies, with Bitcoin heading for a fifth consecutive daily gain, up nearly 20% so far, while Ether has climbed over 25%.
Oil touches a one-month peak: Brent crude briefly approached $95 a barrel after the US threatened stricter sanctions on Iran, stoking fears of supply disruptions and adding to inflationary pressures.
Gold on track for third straight weekly rise: Gold is set for another weekly gain, buoyed by a softer dollar, falling real yields, and growing geopolitical and fiscal concerns.
Rate outlook stays split: Even as pricier oil fuels inflation worries, markets have pared back bets on imminent US and UK rate hikes, as weaker economic data and softer jobs numbers point to a more cautious policy path.
UK consumer sentiment picks up: GfK’s survey showed UK consumer confidence hitting a two-year high in August, signalling growing optimism among households about big-ticket spending and the broader economy.
Bond yields stay high: US Treasury yields rose further, with the 30-year yield back near 5.25%, even as the Treasury tries to shore up the long end of the curve, keeping global borrowing costs and equity valuations under pressure.
