Wednesday, July 10, 2024

Powell’s testimony, SAB 121, crypto funding, blockchain activity, change and economic ideas

“There are forms of oppression and domination which become invisible - the new normal.” –  Michel Foucault ||

Hi all!

Since the last two emails were really long, I’m keeping this one short (you’re welcome!). Today, I cover Powell’s testimony, crypto funding, blockchain activity, SAB 121 and more, but briefly for a change. I have stuff to say on geopolitical shifts, but due to time constraints, I’ll save that for tomorrow.

Scott Melker was kind enough to invite me on his macro show yesterday, although I unfortunately could only stay for half of it – you can see that here.

And, I’m speaking at ETHSofia in October - if you’re going, it would be great to say hi! The organizers have given me a code you can use for a 20% discount: NOELLE20.

I hope you find Crypto is Macro Now useful or informative or even maybe just fun for the music links – if so, would you mind sharing it with your friends and colleagues? ❤

IN THIS NEWSLETTER:

• Powell’s testimony

• Another SAB 121 vote

• Crypto funding

• Blockchain activity

• Change and new ideas

If you’re not a subscriber to the premium daily, I hope you’ll consider becoming one! You’ll get unique content, interesting links and my eternal gratitude - and there’s a free trial!

WHAT I’M WATCHING:

Powell’s testimony

Fed Chair Jerome Powell’s testimony before the Senate Banking Committee yesterday did not deliver any surprises. He acknowledged that the jobs market was becoming more of a focus for them now that inflation seems to be heading in the right direction. He also stressed that they need more information on that front in order to reach the level of confidence necessary to cut rates. As to when that might happen, he wouldn’t say.

The bond market at first seemed disappointed in the lack of more definite dovishness, and yields climbed – but traders were later reassured, and the benchmark 10-year treasury yield is now back near lows for the week.

(chart via TradingView)

Crypto markets, meanwhile, are picking up slightly, despite continued selling from the German authorities, miners, Mt. Gox recipients, etc. This feels significant, as does the continued inflows into the spot BTC ETFs despite last week’s sharp drops.

(chart via TradingView)

Could the headwinds be dissipating? Possibly, but feels a bit soon for that - it’s more likely to be building demand without a corresponding increase in sell pressure.

(chart via The Block Data)

Another SAB121 vote