{"id":434980,"date":"2026-07-29T23:05:55","date_gmt":"2026-07-29T16:05:55","guid":{"rendered":"https:\/\/www.swingfish.trade\/blog\/market-news\/as-london-european-traders-head-for-the-exit-the-markets-are-scared-of-the-fed-and-war-434980\/"},"modified":"2026-07-29T23:05:55","modified_gmt":"2026-07-29T16:05:55","slug":"as-london-european-traders-head-for-the-exit-the-markets-are-scared-of-the-fed-and-war","status":"publish","type":"post","link":"https:\/\/www.swingfish.trade\/blog\/market-news\/as-london-european-traders-head-for-the-exit-the-markets-are-scared-of-the-fed-and-war-434980\/","title":{"rendered":"As London\/European traders head for the exit, the markets are scared of the Fed (and war)"},"content":{"rendered":"<div>\n<p class=\"PDq2pG_selectionAnchorContainer\">As the European and London traders head toward the close, stocks have moved lower, yield are higher and so is are oil prices. The markets are anxious about the Fed with the chance of a hike up to about 35% as Fed Chair Warsh (and the Fed voters) ponder the &#8220;for&#8221; and &#8220;against&#8221; choices.\u00a0 Recall at the last meeting the Fed Chair was more hawkish and the 2 year has reacted appropriately with a move higher.\u00a0\u00a0Looking at the the European stock market, major indices closed mostly lower today as the selling pressure in AI, semiconductor and other technology shares continued to weigh on sentiment ahead of this afternoon&#8217;s Federal Reserve decision. The UK&#8217;s FTSE 100 bucked the trend with a modest gain, helped by strength in defensive and commodity-related stocks, while Spain&#8217;s IBEX 35 led the declines. A snapshot of the market shows:\u00a0<\/p>\n<ul>\n<li>\nGermany (DAX): 25,448.77, -15.25 points (-0.06%)<\/li>\n<li>\nFrance (CAC 40): 8,408.28, -50.51 points (-0.60%)<\/li>\n<li>\nUK (FTSE 100): 10,908.40, +37.39 points (+0.34%)<\/li>\n<li>\nSpain (IBEX 35): 19,390.30, -336.70 points (-1.71%)<\/li>\n<li>\nItaly (FTSE MIB): 51,443.10, -255.08 points (-0.49%)<\/li>\n<\/ul>\n<p>The benchmark 10 year European bond yields moved higher across the board as traders remained cautious ahead of the Fed decision and continued to price in the possibility that interest rates will stay higher for longer. Italy and the UK saw the largest increases in yields.<\/p>\n<ul>\n<li>\nGermany 10-year: 3.156%, +4.0 bps<\/li>\n<li>\nFrance 10-year: 3.955%, +6.0 bps<\/li>\n<li>\nUK 10-year: 5.036%, +8.2 bps<\/li>\n<li>\nSpain 10-year: 3.622%, +6.3 bps<\/li>\n<li>\nItaly 10-year: 3.999%, +9.0 bps<\/li>\n<\/ul>\n<p>U.S. stocks are also trading sharply lower with the Dow down more than 800 points and the Nasdaq lower by over 1%. Much of the weakness continues to center around AI and chip stocks as investors take profits after a tremendous run higher. With the Fed decision and Chair Kevin Warsh&#8217;s press conference still ahead, traders are also reducing risk into the event.<\/p>\n<ul>\n<li>\nDow: 51,929.18, -823.10 points (-1.56%)<\/li>\n<li>\nS&amp;P 500: 7,365.83, -62.94 points (-0.85%)<\/li>\n<li>\nNasdaq: 24,590.12, -286.80 points (-1.15%)<\/li>\n<li>\nRussell 2000: 2,913.91, -39.89 points (-1.35%)<\/li>\n<li>\nNasdaq 100: 27,398.72, -364.41 points (-1.31%)<\/li>\n<\/ul>\n<p>Treasury yields are higher across the curve, with the front end leading the move as traders continue to price out some easing expectations and position ahead of today&#8217;s Fed announcement. The\u00a0expectation is still for unchanged, but there is a 35% chance of a hike<\/p>\n<ul>\n<li>\n2-year: 4.3262%, +4.9 bps<\/li>\n<li>\n5-year: 4.3522%, +4.9 bps<\/li>\n<li>\n10-year: 4.6427%, +3.9 bps<\/li>\n<li>\n30-year: 5.1208%, +2.5 bps<\/li>\n<\/ul>\n<p>In other markets, crude oil is the standout performer, climbing nearly 7% on renewed geopolitical concerns. The rise in yields has kept pressure on gold and silver, while Bitcoin is little changed on the day.<\/p>\n<ul>\n<li>\nWTI crude: $84.42, +6.51%<\/li>\n<li>\nGold: $4,012.80, -0.38%<\/li>\n<li>\nSilver: $57.05, -0.10%<\/li>\n<li>\nBitcoin: $63,944, +0.15%<\/li>\n<\/ul>\n<p>Of course the day does not end with the rate decision. After the close Meta and Microsoft will announce earnings along with:\u00a0<\/p>\n<ul>\n<li>Robinhood (HOOD)\n<\/li>\n<li>\nO&#8217;Reilly Automotive (ORLY)\n<\/li>\n<li>\nArm Holdings (ARM)\n<\/li>\n<li>\nQualcomm (QCOM)\n<\/li>\n<li>\nLam Research (LRCX)\n<\/li>\n<li>\nChipotle Mexican Grill (CMG)<\/li>\n<\/ul>\n<p>Tomorrow, the barage continues with the following\u00a0 announcing before the US open.<\/p>\n<ul>\n<li>\nBristol Myers Squibb (BMY)\n<\/li>\n<li>\nCigna (CI)\n<\/li>\n<li>\nMastercard (MA)\n<\/li>\n<li>\nValero Energy (VLO)\n<\/li>\n<li>\nAltria Group (MO)\n<\/li>\n<\/ul>\n<p>After the Close you get<\/p>\n<ul>\n<li>\nApple (AAPL)\n<\/li>\n<li>\nAmazon (AMZN)\n<\/li>\n<\/ul>\n<p>                            This article was written by Greg Michalowski at investinglive.com.<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>As the European and London traders head toward the close, stocks have moved lower, yield are higher and so is are oil prices. The markets are anxious about the Fed with the&hellip;<\/p>\n","protected":false},"author":216,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[86],"tags":[],"class_list":["post-434980","post","type-post","status-publish","format-standard","hentry","category-market-news"],"_links":{"self":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts\/434980","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/users\/216"}],"replies":[{"embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/comments?post=434980"}],"version-history":[{"count":0,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts\/434980\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/media?parent=434980"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/categories?post=434980"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/tags?post=434980"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}