Powell kept the door open. Equities cheered, yields slipped, and crypto beta caught a tailwind. Here is the cross asset map and what it means for digital assets into September.
What Powell said in plain English
Risks are shifting toward a softer labor market while inflation progress remains uneven.
A September cut is on the table, contingent on incoming data.
Data dependence remains the guidepost.
Cross asset snapshot
| Asset or Index | Move on the day | Takeaway |
|---|---|---|
| Dow Jones | Positive with a record close | Rate sensitive leadership |
| S and P 500 | Positive | Breadth improved across sectors |
| Nasdaq | Positive | Chips led and mega caps bid |
| United States 2 year yield | Lower | Cuts priced sooner |
| Dollar Index | Lower | Risk assets supported |
Cross asset moves on the session
Caption: Jackson Hole session cross asset moves, illustrative.
Note:Â Based on session dynamics, for educational visualization.
Crypto angle: why this matters
Discount rate lower can lift beta. Lower yields reduce the hurdle rate for long duration assets including crypto.
Liquidity impulse: perps and options saw tighter spreads and higher activity after the speech.
ETH leadership: Ether outperformed and posted a fresh all time high, pulling L2 and LST cohorts along.
Scenario planner into FOMC
| Scenario | Macro tells | Crypto tells | Positioning thought |
| Cut in September | Yields drift down and the curve steepens | ETH leadership and alt breadth | Keep beta and trim leverage |
| No cut with dovish tone | Yields remain range bound | Chop and rotations persist | Focus on relative value |
| Hawkish surprise | Yields pop and the dollar rises | Risk off and BTC outperforms alts | De risk and wait for clarity |
Checklist for traders
Watch labor data and core PCE prints before the meeting.
Track options skew. Upside demand should cool if the move is over owned.
Fade thin weekend moves unless spot leads and breadth confirms.
Related Posts
AUSTRAC orders Binance Australia to appoint an external auditor over serious concerns
U.S. stablecoin law pushes the EU to rethink the digital euro
South Korea’s big four banks meet Tether and Circle on stablecoin partnerships
External Sources
