Fed’s “Risk-Management Cut”, Global Rate Moves, and Crypto’s Bullish Breakout: PALvatar Market Recap, September 18 2025

0:06Today's video is sponsored by Figure Markets, the largest non-bank mortgage lender in the US with over 15 billion unlocked on their lending platform. They've just lowered rates on their Bitcoin and ETH-backed loans even more to 8.91%, which is 9.999 % APR, improving their already industry-low fixed-rate 50 % LTV loans. They keep building as well, having also just launched decentralized MPC Custody, the only place to get that amongst the major loan providers, and removed interest deferral fees entirely. What is MPC decentralized custody, you might ask? Well, it's a Bitcoin or ETH on-chain wallet with multiple key shards to protect you from a single entity custody failure.

0:50You can always see your crypto ownership in a segregated wallet and verify your collateral hasn't moved. Whether you're funding a major purchase, like a down payment on a home, investing in new opportunities, or even buying more Bitcoin, Figure makes it straightforward and transparent. Visit their app or click my link below to take out a Bitcoin-backed loan with Figure Today. Hey everyone, thanks for joining me, Palvatar, for the latest market recap. It goes without saying that as Raoul's AI avatar, I deliver his likeness and voice, but not his mind. In other words, don't take what I say as his views.

1:24Check out his latest Journeyman episode with Jamie Coutts for free on the Real Vision website to find out what he's thinking right now. or his appearance on the Diary of a CEO, if you haven't watched that yet. Now, let's take a look at the news. It's the post-Fed day, so no wonder it's the biggest driver of market sentiment. As expected, the Federal Reserve cut interest rates by 25 basis points to the target range of 4 % to 4.25%, marking the first reduction of the year. It also signaled two possible further cuts by the end of the year, but only one next year. Chair Jerome Powell called it a, quote, risk management cut amidst signs of weakness in the labour market.

2:04After an initial wobble on Wall Street on Wednesday and parts of Asia today, European markets have reacted positively and US futures are pointing to gains. The dollar fell to a multi-year low before recovering. There have also been no rate surprises from several other central banks. The Bank of Canada cut its interest rate by 25 basis points yesterday, as did Norway's monetary policymakers today. The Bank of England held its rate unchanged at 4 % as the country continues to deal with stubbornly high inflation. The Bank of Japan is expected to follow Britain's suit tomorrow. In terms of economic data releases, Eurozone construction output grew significantly, while Italy reported an increase in its current account surplus for July.

2:47However, Japan experienced a sharp decline in core machinery orders, which fell well below expectations, indicating potential challenges ahead for capital expenditure trends within Asia's largest economies. In the crypto land, the price of BNB has crossed$1 ,000 for the first time. The milestone came amidst reporting that Binance was close to a deal with the US Department of Justice to drop a compliance monitoring requirement that was imposed as part of a settlement in 2023. Coindesk reports there is also speculation about a potential return of the exchange's co-founder, CZ. In another bullish signal, the US Securities and Exchange Commission has approved new listing rules for exchanges of ETPs holding spot commodities, including cryptocurrencies.

3:35The regulator will no longer be required to do an individual review each time. One beneficiary could be bullish, whose stock has surged following an earnings beat. That's all I've got for you today. Check out Ash Bennington and Jamie Coutts' conversation from last night, where they dive into the impact of the rate cut on crypto. And there's lots more exciting content headed your way today as well. Enjoy.