Investors watched closely as the submarines moved closer to regions of tension. Rather than shrugging off the news, risk assets slumped.
Crypto and tech shares fell together, highlighting how closely linked those markets have become when big political storms brew.
The top cryptocurrency followed tech stocks lower as traders pulled back from bets that rely on borrowed funds.
Monthly futures premiums narrowed to around 6%, showing that fewer investors were willing to hold high-risk trades.
Kugler had favored holding interest rates steady until there was clearer data on inflation. With her exit, Trump can pick a new governor who might support his calls for immediate rate cuts.
Gold hovered near $3,350 an ounce, but it didn’t see a big safe-haven rush. Instead, money flowed into cash and short-term US Treasuries.
Reports have disclosed that traders are moving to lower-risk options as global tensions and doubts about economic data pile up.
Even with the Kremlin keeping mum, Moscow’s bourse swooned sharply once Trump made his remarks.
In recent days, Trump and Medvedev have been trading increasingly pointed personal digs across social media.
Friday marked yet another round in Trump’s back-and-forth with Medvedev. Just a day earlier, he mocked Medvedev as “the failed former president of Russia, who thinks he’s still president.”
Despite the recent slide, Bitcoin is still well above its January level and sits only 7% below its July high of $123,182. For now, investors will be watching every tweet and military move for fresh signs of the next big market swing.
Featured image from HII, chart from TradingView
