Messages from the minutes suppressed the risk appetite in the markets.
After Fed minutes pointed to earlier and faster rate hikes, stock indices fell in the US.
The Dow Jones fell 1.07%, the S&P 500 fell 1.94%, and the technology-heavy Nasdaq 100 fell 3.12%. As sales in US bonds deepened, the 10-year bond’s yield rose to 1.71%, its highest level since April for a while.
US futures and Asian stocks are also down this morning.
While the Japanese yen gained value with the decline in risk appetite, gold carried its decline for the second day in anticipation of the Fed’s faltering. Bitcoin is in the $42,000 region, its lowest level since September, following Fed expectations and an increase in bond yields.
While crude oil inventories in the US fell for the sixth consecutive week with 2.14 million barrels last week, oil prices declined due to concerns that Chinese demand would decrease due to the Fed and Omicron.