Fed Rate Hike Fallout Dominates Markets as Trump Meets with Gulf Leaders

The Federal Reserve's rate hike on Wednesday had far-reaching effects across various markets. Goldman Sachs revised its forecast, moving up the next interest rate increase to October 27-28, from a previously anticipated one-time event. This change in expectations has investors focusing on the pace of central bank tightening.

The geopolitical landscape also saw significant developments. President Trump is set to meet Gulf Cooperation Council leaders at the UN General Assembly next Tuesday to discuss Iran war next steps. Meanwhile, Saudi Arabia offered extra crude cargoes to Asian refiners through ship-to-ship transfers off Oman's Sohar port, easing supply fears.

On the cryptocurrency front, Deutsche Bank plans to offer regulated Bitcoin and Ether custody to European institutional clients by the end of 2026, pending approval from Germany's BaFin regulator. This move represents another piece of infrastructure being put in place to support crypto adoption.