CEX.IO chief analyst Illia Otychenko said that while lower interest rates are usually good for risk assets like bitcoin, investors should focus on the Fed's forward guidance. Even if the Fed chooses to cut interest rates by 50 basis points, the market's reaction may depend on Fed Chair Jerome Powell's comments on future monetary policy actions. Without clear forward guidance, institutional investors may reduce their risk exposure, which could dampen bitcoin's bullish momentum. (Decrypt)
Mr. Summers, the former Treasury secretary, said that while the August non-farm payrolls report was not particularly bad, it did make it harder to predict how much the Federal Reserve might cut interest rates this month. "The data, while not showing very significant weakness, certainly won't give you a sense of relief if you're concerned about recent statistical trends," Mr. Summers said in an interview.