Scott Bessent, the Wall Street heavyweight and founder of Key Square Group, recently moved to 'clarify' his earlier suggestion of a $2,000 per-person dividend. The hedge fund veteran, who previously served as chief investment officer for George Soros, is known for his ability to sway market sentiment. His latest comments were taken as a signal that the scale or timeline of such a fiscal handout may be more modest than initially believed, leaving bullish investors disappointed.
Adding to the cautious mood, Dallas Federal Reserve President Lorie Logan delivered a hawkish message that effectively killed any remaining hopes for a December rate cut. She warned that progress on inflation could stall and that she favors keeping interest rates at current levels for an extended period. As a voting member of the Federal Open Market Committee, Logan's words have a direct impact on policy expectations. The combination of fading fiscal stimulus bets and a firmly restrictive monetary stance has pressured risk assets across the board. Stocks, crypto, and other high-beta plays lost momentum, leading traders to ask: have the bulls finally run out of ammunition?