JP Morgan raises concerns regarding the upcoming Federal Reserve rate cut. Analysts predict this could lead to a stock market selloff.
Market Analysis by JP Morgan
JP Morgan warns of potential stock market selloff due to the 25 basis points cut set for September 17, 2025. Andrew Tyler, Head of Global Market Intelligence, indicated that investors may reassess macroeconomic conditions and their investment strategies.
Market Strategists' Expectations
JP Morgan strategists expect two additional 25 bps cuts by year-end, likely resulting in a benchmark rate of 3.25%-3.5%. Morgan Stanley’s Mike Wilson sees positivity in sectors like industrials and financials, which show upward trends.
Crypto Market Observations
Analysts observe that sensitive assets like Bitcoin and Ethereum may experience volatility due to liquidity shifts. However, total value locked (TVL) remains stable in major protocols according to platforms such as Artemis and DeFi Llama.
As economic policy shifts approach, banks and investors should consider potential impacts on stock and cryptocurrency markets.
