Just how high will the Federal Reserve go tomorrow? And big job cuts in crypto and housing. The much-anticipated Federal Reserve meeting happens tomorrow and not soon enough to many investors. Many now expect the Fed to raise rates by 75 basis points to help stop the inflation bleeding.
Meanwhile a mixed market today.
The Dow fell 151, or half a percent, to close at 30,364.
The Nasdaq got a little back from yesterday, gaining 19.
The S&P fell 14 points.
The Fed was planning another 50 basis point hike, then the May inflation report hit, and now everyone thinks a 75 point hike is coming tomorrow. Treasury yields also just hit multi-year highs.
Bitcoin fell again today, dropping below $21,000. One immediate side effect – Coinbase is laying off 18% of its workforce, about 1,000 employees. The crypto exchange CEO said its to make sure they “stay healthy during this economic downturn.”
Layoffs also in the housing industry. Real estate firms Compass and Redfin both say they’re letting employees go. Home sales have been dropping, and 30-year mortgage rates just surged to 6.3% this week. Redfin’s stock just hit a new 52-week low.
From Los Angeles, I’m Brian Martin with your BEONDTV After the Bell report.
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