Markets Plunge Amid Fed Rate Cut Speculation and Labor Data Anxiety
US markets opened in freefall today, with equities and cryptocurrencies shedding billions in value within minutes. The selloff accelerated after two key developments: the Labor Department's announcement of November-December data releases on December 16th, and growing speculation about a potential Federal Reserve rate cut in December.
Market analysts describe the conditions as a textbook case of information asymmetry. The Kobeissi Letter noted trillions evaporated as volatility spiked, flipping investor sentiment from cautious to outright panic. crypto markets mirrored the chaos, with liquidations cascading across major tokens.
No sector escaped the bloodletting. Traders raced for exits as the VIX spiked, creating a self-reinforcing cycle of selling pressure. The moves suggest markets are repricing risk ahead of year-end, with liquidity conditions exacerbating the downward momentum.
