Disclaimer: Information found on CryptoreNews is those of writers quoted. It does not represent the opinions of CryptoreNews on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoreNews covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.
The program Macro Markets, hosted by crypto analyst Marcel Pechman, airs every Friday on the Cointelegraph Markets & Research YouTube channel. It simplifies intricate concepts for a general audience and emphasizes the relationship between traditional financial events and everyday cryptocurrency activities.
This week’s episode begins with a discussion on the mutual fund sector, featuring prominent firms such as BlackRock, Fidelity, and Vanguard, and how the leading 15 asset managers oversee more than $54 trillion. Remarkably, this amount could purchase every company listed in the S&P 500 Index, in addition to all the gold, fiat currency notes, and coins currently in circulation worldwide.
Related Posts
Pechman elaborates on how the $120 trillion managed by these mutual funds is significantly dependent on fixed income and why it continues to be their primary investment choice, despite yielding returns below inflation for the past three years. Furthermore, the episode explores how passive investment approaches could propel Bitcoin (BTC) into a new realm, rapidly increasing its acceptance among institutional investors.
The following segment of Macro Markets addresses a query from “Film City,” who left a question in the comments of last week’s YouTube video. Pechman clarifies why the 40-year low unemployment rate in the United States does not necessarily indicate a positive outlook for high-risk investments. Conversely, the analyst points out that a rise in the unemployment rate, particularly above 10%, is indeed harmful to cryptocurrencies.
The episode wraps up by analyzing the U.S. credit default swap (CDS) rates, which have recently hit an 11-year peak. These insurance instruments come into play if the debt issuer fails to meet their payment obligations — in this instance, the U.S. government Treasury. Pechman discusses why the current U.S. CDS situation is not a cause for concern and how one should evaluate specific risks associated with the U.S. dollar.
If you seek exclusive and insightful content from top crypto analysts and experts, be sure to subscribe to the Cointelegraph Markets & Research YouTube channel. Join us for Macro Markets every Friday.
