Financial markets are entering a pivotal stretch as investors await two major catalysts: the Federal Reserve’s annual Jackson Hole Economic Policy Symposium and Nvidia’s fiscal second-quarter earnings report. The Kansas City Fed-hosted symposium begins Thursday in Wyoming, while Fed Chair Jerome Powell is scheduled to speak Friday. Traders currently see a September rate cut as nearly certain, but the key question is whether the Fed will reduce rates by 25 or 50 basis points. Powell’s remarks could sharpen those expectations and set the tone for risk assets, including cryptocurrencies.
Bitcoin has already moved decisively higher, reaching $77,000 and putting the leading cryptocurrency on track for its best weekly performance in nearly three years. The gain stands out during a turbulent week for equities, where a bond-market sell-off pressured stocks before a late-week recovery. On Friday, the Dow Jones Industrial Average rose 0.7%, the S&P 500 added 0.4%, and the Nasdaq Composite gained 0.3%.
Nvidia’s results, due Wednesday after the close, will test the AI trade that has lifted major indices. The company’s market capitalization exceeds $3 trillion, and investors will focus on revenue growth, data center sales, and guidance. Weakness could trigger a broader tech selloff, while a strong report may reinforce confidence in AI-related assets. Meanwhile, tech and chip stocks fell for a sixth consecutive day, the longest losing streak since September 2022, as analysts cited thin summer volumes and profit-taking.
In Washington, Treasury Secretary Scott Bessent announced expanded bond buybacks beyond $4 billion per issue, but the initial relief in Treasury yields faded quickly. Bessent is expected to hold a Monday press conference on the US plan to economically isolate Iran, adding another macro risk. S&P Global’s Purchasing Managers’ Index data will also provide a read on manufacturing and services activity. For crypto markets, these macro signals may influence risk appetite and liquidity expectations in the coming weeks.
