Market Snapshot – Calmness in The Markets

Stock Markets Calm

Some amount of calmness has returned back to the stock markets as the period of uncertainty and panic selling seem to be going off in the short term. After a few days of a large amount of selling, that we have seen over the last week or so, the last couple of days has been quite steady despite the continuing bearish outlook. The investors have seen a period of large drop and then a recovery of sorts and now they are not sure whether to get into the markets at this time or wait for the stock markets to see whether the drop continues and they can pick it up later. So, we are in a state of deadlock but what should keep the bulls happy is the fact that this has brought to an end the period of panic selling and we are seeing some calmness. The BOE has hinted at a rate hike which has helped the pound to move higher over the last few hours. This was not expected from the BOE which was looking to keep things as is but this hawkish outlook has helped the pound climb back above the 1.40 region.

Cryptos Steady

The bitcoin prices have been holding steady in the $8000 region as some positive sentiment returned back to the crypto markets due to the absence of any bad news and also due to the hawkishness that was seen in the Senate hearing on cryptos. The developments in the space have been so quick and fast that even a day of no developments is considered as hawkish for the markets. This is a big rebound for the crypto prices considering that the BTC prices were at a huge loss during the early part of the week as they were in the $6000 region and it looked as though further losses were along the way. But that has been salvaged to some extent by the latest round of bullishness which has now given way to consolidation over the last couple of days. This is likely to continue in the short term before we see the next direction in the crypto markets.