BoE unexpectedly raises interest rates 0.5%, Powell returns for second testimony day

The market continues to show weakness for the second consecutive day with the tech sector heavily sold off yesterday. However, the VIX index continues to decline, touching the 2023 low. Most of the market perceives a clear “hawkish” tone from Jerome Powell's testimony session with the statement: “Nearly all FOMC participants expect that it will be appropriate to raise interest rates somewhat further by the end of the year”. At the end of the day, S&P500 down -0.56% but Nasdaq down -1.44% with key gamma levels unchanged.