🪄FOMC Minutes: A Glimpse into the Monetary Crystal Ball 🔮

Good Morning!

We've got a smorgasbord of economic events on the menu. The Fed's dishing out minutes and jobs data, while the Eurozone's serving up PMI and PPI. Japan's Nikkei 225 futures are up 1.4%, but the S&P 500 futures are playing it cool, down 0.1%. Bitcoin's taking a breather at $60,874. It's like economic bingo, and everyone's waiting to shout "Jackpot!"

In today’s email:

• Fed Watch: Powell and Lagarde spoke yesterday, all eyes on FOMC minutes today

• Crude Oil: Flirting with a 2-month peak

• Ethereum: Ethereum products face record outflows

• Clearpool: Launching on Base

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THE BIG IDEA

Powell & Lagarde Spoke Yesterday

Hold onto your economic hats, folks! It's the central bank showdown you've been waiting for, starring the Fed's Jerome Powell and the ECB's Christine Lagarde.

Powell's giving us some cautious optimism, like a weatherman predicting sunshine with a chance of thunderstorms. He's seeing signs that inflation's finally taking a chill pill, but he's not ready to pop the champagne just yet. The Fed's playing it cool, wanting more proof before they start slashing those interest rates.

Meanwhile, across the pond, Lagarde's channeling her inner detective.

She's got a mystery on her hands - the case of the stubborn inflation - and she's not about to close the file without more evidence. The ECB's taking a "we'll get there when we get there" approach to rate cuts, with Lagarde's right-hand man, Philip Lane, saying June's inflation data is just one piece of this economic puzzle.

Both central banks are treating the economy like a delicate soufflé - one wrong move and it could all collapse. This economic rollercoaster's got a few more loops before we hit the station!

MARKETS AT A GLANCE

TOP NEWS

The S&P 500 just hit a new high-score of 5,500, its 32nd record this year

Meanwhile, the Nasdaq 100 breached 20,000 for the first time, with Tesla playing MVP, surging 10%. APAC stocks are riding the wave, while Euro Stoxx 50 futures are up 0.5%, shaking off Tuesday's hangover, the MSCI Asia Pacific Index is on its longest winning streak since May, and Japanese stocks are flirting with all-time highs. The dollar's taking a breather below 106, while USD/JPY is flirting with multi-decade highs. Today's economic buffet includes PMIs, ADP jobs data, and the FOMC minutes. Oh, and Uncle Sam's taking a half-day for some pre-July 4th grilling. Let the fireworks begin!

A federal judge just KO'd Biden's LNG export license pause, scoring a touchdown for American energy independence

Judge Cain called the pause the "epiphany of ideocracy" (ouch!). Red states are cheering, while the White House is licking its wounds. With US LNG exports doubling in four years, this ruling's hotter than a Texas summer. The energy game just got spicier than a ghost pepper!

Crude's riding high, flirting with a two-month peak

API's report is like a magic wand, potentially zapping 9.2 million barrels from US stockpiles - the biggest vanishing act since January! Brent's strutting above $86, while WTI's chilling near $83. With geopolitical drama spicier than a jalapeño popper, oil's looking hotter than a summer barbecue. Keep your eyes peeled for those official figures, folks!

CRYPTO

Ethereum products face record outflows as ether ETFs loom, sparking mixed investor sentiment.

Ether's feeling the heat as investors bail faster than a cat in a bathtub. We're talking a whopping $120 million exodus from ETH-tracked products in just two weeks - the biggest flight since 2022. Meanwhile, Bitcoin and multiasset ETPs are basking in modest inflows. What's the buzz? Ether ETFs are on the horizon, and predictions are wild. Galaxy's betting on a $5 billion influx in five months, while Bitwise's crystal ball shows $15 billion in 18. Buckle up, crypto cowboys!

Kraken explores nuclear power for data centers, eyeing energy stability amid growing crypto demand.

Not in the explosive way, but in the "let's power our data centers with mini reactors" way. Why? Because crypto never sleeps, and neither does Kraken's need for juice. With AI and high-performance computing gobbling up power faster than a hungry hippo, Kraken's looking to secure its energy supply. They're not building their own reactors (phew!), but partnering with providers. It's all about keeping those crypto gears turning 24/7, come hell or high water... or blackout.

Bittensor's TAO token plunges 15% following an $8M wallet drain attack, leading to blockchain pause.

Bittensor's blockchain just hit the brakes faster than a squirrel on a busy highway. Why? A sneaky attack drained $8 million worth of TAO tokens from one unlucky wallet. TAO prices took a 15% nosedive, but they're slowly crawling back up. The blockchain's now in "safe mode" - it's breathing, but not moving. Investigators suspect a private key leak, which is like leaving your house key under the welcome mat. Stay tuned as this AI-crypto drama unfolds!

Clearpool launches on Base, enabling institutional access to onchain credit with Portofino Technologies pioneering the first Credit Vault.

Clearpool's making waves again. They've just dropped their Credit Vaults on Base, Coinbase's pet project L2. First in line? Portofino Technologies, the high-frequency trading hotshot. These vaults are like a DIY credit paradise - borrowers call the shots on interest rates, repayments, and even who gets to play. With over $530 million in loans already under their belt, Clearpool's bringing the big guns to the DeFi party. Wall Street's Jane Street is already in the mix. Is this the dawn of institutional DeFi domination?

GOLD

Gold market experiences significant disruption due to Chinese derivatives trading, defying traditional market indicators and physical demand trends.

Gold market's gone cosmic! Picture this: Chinese derivatives trading has swooped in like a celestial body, shaking up the solar system of gold prices. We're talking $40 billion a day on "Shiffy" (SHFE), enough to make even NASA's computers overheat. Gold's ignoring its usual dance partners - the dollar, yields, you name it. It's like watching a planetary ballet choreographed by a sugar-high toddler. Physical demand? That's so last year. Germany and the US are practically swimming in secondhand gold, while prices defy gravity. Welcome to the twilight zone of precious metals!

DAILY ECONOMIC CALENDAR (ET)

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