25 or 50bp cut? | MarketTalk: What’s up today? | Swissquote

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Either the Federal Reserve (Fed) doves are going seriously ahead of themselves, or there will be a big disappointment when the Fed will announce its policy decision tomorrow. Or... the Fed will align with the market and give investors want they want, to avoid creating further panic. The expectation of a 50bp is now assessed nearly 70% chance. US yields and the dollar are softening, the equities are holding on to their gains, precious metals see demand and US crude jumps above $70pb.
In individual news, Intel jumped more than 6% yesterday on news that it sealed a deal with Amazon’s AWS. According to the news, the companies will co-invest in a custom semiconductor for AI computing. Intel also confirmed that it will well separate its foundry business from the rest, to unlock its external foundry potential by giving its customers a better image of independence of its foundry unit. The news pleased investors, for once. A growing number of companies are exploring the potential of developing their own custom chips, a vision that Intel’s independent foundry services could help bring to life.
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