4E: Powell Denies Fed Will Bail Out Market, US Stocks Plummet, Crypto Market Shows Independence

On April 17th, according to the monitoring of 4E, Powell's latest speech cautioned that the increase in tariffs far exceeded expectations and might face a dilemma of inflation and economic challenges. This implies that the Federal Reserve will give priority to controlling inflation and reaffirm its wait-and-see stance, denying that it will cut interest rates to rescue the market during a major market downturn. Affected by this hawkish statement, the three major U.S. stock indexes plummeted collectively. The Nasdaq plunged by 3.07%, the S&P 500 dropped by 2.24%, and the Dow fell by 1.73%. The seven major technology giants generally experienced a decline. Nvidia fell by nearly 6.9%, and Tesla dropped by nearly 5%. In the face of the sharp decline in the U.S. stock market, the crypto market showed relative independence. After Powell's speech, Bitcoin briefly plummeted but quickly rebounded above $84,000 and is currently priced at $84,227, with a 0.8% increase in the past 24 hours. Most altcoins saw gains, but the market sentiment is cautious. Investors are wary of whether they will be affected by the potential spread of overall economic risks in the future. In the volatile foreign exchange market, the U.S. dollar index expanded its decline after Powell's speech, with a daily decline of slightly over 1%. The U.S. announced new sanctions on Iranian oil exports, causing crude oil to rebound by nearly 2% to a near two-week high. Gold prices maintained an upward trend throughout Wednesday. Spot gold rose by nearly 3.5% intraday, setting a new historical record. During the U.S. stock market plunge, Trump repeatedly called for interest rate cuts, leading to a growing market expectation of an emergency rate cut by the Federal Reserve. However, Powell's latest speech poured cold water on the market. The CME FedWatch tool shows that the probability of the Fed maintaining interest rates unchanged in May has increased to 83.2%. As a financial trading platform that supports assets such as cryptocurrencies, stock indices, gold, and forex, eeee.com recently launched a USDT stablecoin financial product with an 8% annualized return rate, providing investors with a potential hedging option. 4E reminds you to pay attention to market volatility risks and allocate your assets reasonably.