Powell's speech is imminent, and the bulls and bears are on the verge of a fierce battle

Federal Reserve Chair Powell will appear at the Jackson Hole Annual Meeting tonight at 22:00. This speech could become a key turning point for the recent market. The market is currently in a state of anxiety—interest rate cut expectations are rapidly fading, dropping from 90% a week ago to around 70%. Global investors are waiting for this decision-maker to give a clear signal.

Dollar, Gold, and Crypto Assets Move Together

Market performance before the speech has already hinted at the trend. The US dollar index has been rebounding consecutively, and the Japanese yen exchange rate is also under pressure. As of press time, USD/JPY is at 148.72, up 0.24%. The logic behind this is clear— as long as bets on rate cuts weaken, the dollar will remain strong.

Gold is having an even harder time. Gold prices have fallen for two consecutive days, currently at $3,331 per ounce, down 0.23%. Analysts point out that if Powell’s remarks lean hawkish, gold prices could further break through the psychological level of $3,300. Conversely, if there is an unexpected shift, the dollar may face a new round of selling pressure, and gold prices will also find support.

Stock Market in a Delicate Balance

Before the market opens on August 22, the three major stock index futures are slightly higher: Dow Jones futures up 0.32%, S&P 500 futures up 0.25%, Nasdaq 100 futures up 0.21%. However, individual stock performance is quite mixed—Nvidia is down 1.10%, amid supply chain concerns (the company has asked some component suppliers to suspend H20 chip production); Tesla, on the other hand, is up 0.50% against the trend.

Bitcoin Faces a Directional Choice

The focus of the crypto market is on Bitcoin. Currently, BTC is fluctuating near a key support level, with investors waiting for Powell’s speech to signal the direction. According to the latest data, Bitcoin’s current price is 93.74K@E5@ USD.

From a technical perspective, if BTC can hold above the key resistance, it may continue to rise; on the other hand, breaking below the key support could trigger a chain reaction of declines, with multiple support levels potentially tested at any time.

Key Highlights Summary

Powell’s speech will directly influence market expectations of the Federal Reserve’s policy path. Whether his stance is hawkish or dovish, it could trigger a re-pricing of assets. The dollar, gold, stocks, and Bitcoin are all holding their breath at this turning point, waiting for this Fed Chair to give an answer.