Risk sentiment stayed fragile on Wednesday as U.S. carriers and air power massed near Iran, the dollar slid toward four-year lows, gold surged to fresh records above $5,300, Bitcoin hovered just below $90,000, and global equities tilted toward growth stocks.
Crypto
Total crypto market cap is hovering around $3.02 trillion, up just over 1% as traders digest an uneasy macro backdrop of a sliding dollar, record-high gold, and rising Iran tensions.
The Fear & Greed Index sits at 37, firmly in “fear,” while the Altcoin Season Index at 27 still flags a Bitcoin-led market, and the Average Crypto RSI Index near 50 suggests neither extreme overbought nor oversold conditions.
Bitcoin trades just under $90,000, inching higher on the day but lagging the broader move. Ethereum, around $2,998, and Solana, near $127, are outperforming with 24-hour gains of 2%.
ETF flows, however, show de-risking. Over the past three sessions, U.S spot products have seen roughly $240 million in net outflows, with IBIT alone losing nearly $190 million.
Commodities
Gold has stolen the macro focus, surging through $5,300 an ounce to a fresh all-time high as investors rush toward the classic hedge against geopolitical shocks, dollar weakness, and lingering doubts over central bank independence.
The surge comes as the dollar index hits multi-year lows after President Trump played down the currency’s slide, a move FX traders see as a green light for further selling.
Oil is firmer but less volatile, with Brent trading just below $68 and WTI around $62–63, holding near four-month highs.
Stock Market Indices
U.S. equities remain broadly constructive, with the S&P 500 trading near 6,979, up about 0.4%, and the Nasdaq Composite around 23,817, up almost 1%, both hovering just below record highs ahead of major tech earnings reports.
In Asia, Nikkei futures trade around 53,700, while London’s FTSE 100 is modestly higher near 10,214, with export-focused stocks drawing cautious support from a weaker U.S dollar.
Geopolitics & Market Sentiment
On the diplomatic front, the U.S is conducting a multi-day air exercise in the Middle East and has deployed the USS Abraham Lincoln carrier strike group to the area, underscoring heightened regional tensions and the potential for a large-scale conflict.
On the economic front, markets are focused on currency and trade policy as Trump’s tolerance for a weaker dollar, fresh tariff threats on key allies, and talk of coordinated yen intervention deepen the “sell America” trade across markets.
The Federal Reserve is set to meet today with no rate change expected, but investors will closely watch the policy statement and Chair Jerome Powell’s press conference for any signal on Fed independence amid circulating news about criminal investigations and Donald Trump’s claim that rates will “come down a lot” once he appoints a new chair.
Taken together, dollar politics, tariff risks, and uncertainty around central banks are keeping volatility expectations elevated, even as major equity indices continue to edge higher.
