#JoinGrowthPointsDrawToWiniPhone17 ☄ Why are the markets falling out of nowhere? Bloomberg explained what went wrong.

Japan has become the main shock of the week.

The Central Bank hinted at a rate hike on December 19. For the global financial system, this is one of the strongest signals in many years. The yen has strengthened, and Japanese funds are starting to repatriate capital. This sharply reduces global liquidity and puts pressure on all risky assets.

Ahead of key US statistics, investors are going to cash.

Data on spending, employment, and ISM indices will be released this week. The market is not ready to increase risk ahead of the publications.

Uncertainty surrounding the Fed

They are waiting for the meeting on December 10 and the decision on the rate. Rumors about a possible replacement of Powell have heightened tension. Until the final decision, large capital is in no hurry to open positions.

Pressure on the technology sector

AI startups have slowed down, company valuations are overheated. The global MSCI index has gone negative for the first time in almost six months.

Weak data from China

The manufacturing sector is once again in the zone of decline. Asian markets are in the red, which amplifies the overall risk-off sentiment.

Crypto moves in tandem with the global economy

BTC fell below 86,000, ETH below 3,000. This is not an internal industry issue, but a reaction to the global liquidity contraction.