TechFlow News: On January 23, the latest U.S. economic data continued to exceed expectations, prompting markets to significantly shift toward a more cautious stance regarding the Federal Reserve’s potential interest rate cuts this year. A resilient labor market and steady consumer spending pushed short-term U.S. Treasury yields higher, with the 2-year Treasury yield briefly reaching its highest level since December last year. Interest rate futures now indicate that the probability of a rate cut at the Fed’s upcoming meeting has fallen to below 5%, and the total number of expected rate cuts for the year has been compressed to fewer than two. Markets broadly believe that, absent a marked economic slowdown, the Fed will maintain its patient posture—“higher for longer” has become the dominant expectation.
A BiyaPay analyst noted that the delayed rate-cut expectations may temporarily disrupt risk assets; however, they also reflect underlying strength in the U.S. economy’s fundamentals. The tug-of-war between interest rates and asset prices is intensifying, further elevating the importance of cross-asset allocation.
Through BiyaPay, investors can flexibly participate in U.S. equities, Hong Kong equities, options, and cryptocurrency trading using USDT—seizing multi-market investment opportunities amid shifting interest rate cycles.
