Markets and shutdown
The S&P 500 has crossed 6,700 points for the first time in history, setting a new all-time high even as the U.S. federal government is shut down the second day now. Also Bitcoin made a climb and reached 119k last night.
While the shutdown has forced agencies to furlough workers and pause economic data releases - like jobs report coming friday - marketmarkets appear largely unfazed. Investors are focusing instead on expectations of Federal Reserve rate cuts and solid corporate earnings, both of which continue to fuel optimism.
History shows that shutdowns often cause more political drama than economic damage, and markets typically recover quickly. Still, risks remain: prolonged disruption could weigh on consumer spending, delay key economic reports, and weaken regulatory oversight.
S&P 500 vs Bitcoin performance
Fun Fact: S&P index now has doubled within 5 years which is an impressive APR of 15%. Bitcoin outperformed that though by far, delivering an APR close to 60%, 4x the S&P performance! We will see how this year will end, S&P is up +14% while BTC already rallied +25%.
I expect both Bitcoin and the S&P index to reach further ATHs in the coming weeks. What about you?
