Taproom Takes (26/10/25): This Week in Markets

Equities edge higher, crypto chops sideways, and policy signals shift

This Week in Markets

• Equities: US stocks climbed as softer-than-expected inflation data lifted hopes for a rate cut by the Fed. The S&P 500 rose ≈ 0.8 %, Nasdaq ≈ 1.2 %.

• FX: The Aussie dollar strengthened on risk appetite and firm commodities. Traders trimmed aggressive cut bets, keeping AUD/USD near 0.67.

• Crypto: Bitcoin hovered near US $64 k while Ethereum outperformed. Alt-coins chopped sideways as liquidity favoured majors.

• Commodities: Gold eased from record highs; oil steadied > US $84/bbl. Commodity sentiment improved as China’s PMIs showed resilience.

• Macro & Policy: The US shutdown drags on, but divergence rules the day —the RBA is steady while Europe and Asia move to ease.

This Week’s Pour of Insight

Central-bank divergence is the story. The Fed stays tight, others loosen — a shift that’s reviving risk assets, lifting yields, and helping the AUD find its footing.

What’s on Tap Next Week

• Watch for:

  • Updated CPI prints and Fed commentary

  • Earnings continuations in tech and AI

  • Liquidity reactions to global policy moves

• Risks: Shutdown delays key data / trade flare-ups / earnings fatigue

• Opportunities: If cuts are confirmed and growth holds, expect rotation into tech (NASDAQ) and AI. Crypto may break its range as macro tailwinds build.

Final Sip

Markets are steadying. Equities are frothy but not overpoured, crypto’s holding its head above the foam, and policy divergence — not panic — is what’s filling the glass this week.