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Wall Street Steadies as Warsh Warns Inflation Is “Running Too High,” the Yield Curve Twists and Oil Slides Toward $82 | Technical Analysis – US Session | 28 August 2026

August 28, 2026
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Friday, 28 August 2026  ·  U.S. Session Technical Analysis — Updated 1:15pm ET / 10:45pm IST, U.S. Afternoon Session

Wall Street Gives Back Its Gains as Warsh Warns Inflation Is “Running Too High” — Gold Slumps 3%, Bitcoin under $78,000

USD/CAD · USD/CHF · Gold · Crude Oil · S&P 500 · US 10Y Yield · BTC/USD · XRP/USD — live U.S. market outlook today, updated through the New York afternoon session

Wall Street has faded its early gains on Friday afternoon as investors digest Federal Reserve Chair Kevin Warsh’s debut Jackson Hole keynote, delivered at 10:00am ET at the Kansas City Fed’s symposium in Jackson Hole, Wyoming. Warsh told the audience that “inflation is running above our 2% target” and that “the Fed’s predominant focus right now should be on prices,” while adding that he is “impressed by the overall performance of the economy, which appears to have strengthened.” Stocks initially rallied on the speech, with the Dow and S&P 500 up roughly 0.4% and 0.3% respectively by late morning, but the move has since reversed. As of 1:15pm ET the S&P 500 is down about 0.12% at 7,722, the Nasdaq Composite is off roughly 0.34% at 26,451, and the Dow is barely positive at 53,598. Breadth is the weak spot: the Russell 2000 is down 1.23%, and the VIX has ticked up to 14.74. Thursday’s Nvidia-led rally has stalled, with Nvidia turning lower after Wednesday’s blowout results, Marvell Technology down sharply on its own Q2 figures, and PayPal off roughly 12% after Advent and Stripe walked away from a proposed $50 billion takeover. In rates, the move was a genuine bear-flattening curve twist: the policy-sensitive 2-year Treasury yield jumped roughly 8 basis points as Warsh spoke, the 10-year yield rose about 2 basis points to near 4.70%, and the 30-year yield eased around 1.5 basis points. In FX, the Dollar is broadly steady rather than firm, with USD/CAD little changed near 1.3853 and USD/CHF around 0.8041. Commodities are where the damage is: Gold has slumped roughly 2.8% to about $4,471 an ounce as the jump in short-end yields undercut the dollar-debasement trade, giving back a chunk of what had been its best month since 1999. Crude Oil (WTI) is easing to around $83.11 a barrel, on track for a weekly loss, as an Iran-Oman revenue-sharing arrangement over the Strait of Hormuz eases supply fears even as Treasury Secretary Scott Bessent’s sanctions campaign against Iran intensifies. Crypto has turned decisively risk-off into the U.S. afternoon: Bitcoin (BTC/USD) has broken back below $78,000, down roughly 3.1%, after failing to hold its post-May high near $81,240 earlier this week, while XRP/USD is down about 4.2% near $1.40 despite a ninth straight day of spot ETF inflows. The final University of Michigan consumer sentiment reading, released at 10:00am ET, was revised modestly higher. Ready to act on today’s setups? Open an Account with Capital Street FX.
USD/CAD1.3853▼ -0.01%
USD/CHF0.8041▼ -0.02%
Gold$4,471.09▼ -2.84%
Crude Oil$83.11▼ -0.50%
S&P 5007,722.06▼ -0.12%
US 10Y4.70%▲ +2bps
BTC/USD$77,876▼ -3.12%
XRP/USD$1.3998▼ -4.16%
PRICE TIMESTAMP · PLEASE READ
Quotes above captured between 12:15pm and 1:15pm ET on Friday, 28 August 2026 (9:45pm–10:45pm IST) from Yahoo Finance, investing.com and exchange aggregators. These are delayed indicative levels, not a live tick feed, and the U.S. session remains open until 4:00pm ET. Equity, metals and crypto prices have moved sharply intraday today — verify against your own terminal before acting on any level in this report.
Section 1 · Live Market Headlines

U.S. Market News — Live Now, 28 August 2026

Top-moving headlines shaping the U.S. market outlook today, updated through the New York morning

Critical

Warsh Delivers His First Jackson Hole Keynote — No Explicit Rate Signal, But a Hawkish Undertone

Fed Chair Kevin Warsh told the Jackson Hole symposium that “inflation is running above our 2% target” and that “the Fed’s predominant focus right now should be on prices,” while separately saying he is “impressed by the overall performance of the economy, which appears to have strengthened.” The most recent PCE print showed headline inflation at 3.7% and core at 3.3%. He declined to spell out a clear reaction function, but the tone was enough to push short-dated yields sharply higher. Swaps price roughly a one-in-three chance of a September hike.

Central Banks
Critical

Treasury Curve Twists — 2-Year Yield Jumps, 30-Year Slips

The 2-year Treasury yield jumped roughly 8 basis points as Warsh spoke, after he said the Fed’s predominant focus should be on prices. The 10-year yield rose about 2 basis points to near 4.70%, while the 30-year yield eased roughly 1.5 basis points — a textbook bear-flattening move that reflects short-end repricing of the policy path rather than a fresh long-end supply scare.

Bonds
Critical

S&P 500 Round-Trips Its Post-Speech Pop as the Nvidia Rally Stalls

The S&P 500 rallied to roughly 0.3% higher immediately after Warsh spoke, then gave the whole move back and is now down about 0.12% near 7,722. The Nasdaq Composite is off 0.34% at 26,451 and the Russell 2000 is down 1.23%, a clear breadth warning. Thursday’s blockbuster session — when Nvidia’s forecast and strong results from Salesforce, CrowdStrike and Palo Alto Networks drove the Nasdaq up more than 1.5% — has not carried through, with Nvidia turning lower, Marvell Technology down sharply on its Q2 figures and PayPal off roughly 12% after Advent and Stripe abandoned a $50 billion takeover.

Equities
High

Oil Eases Toward $83 as Iran-Oman Hormuz Deal Offsets Bessent’s Sanctions Push

WTI crude is easing toward $83.11 a barrel, on pace for a weekly decline, as Iran’s revenue-sharing arrangement with Oman over the Strait of Hormuz eases physical-supply fears. That is outweighing Treasury Secretary Scott Bessent’s escalating “economic D-Day” sanctions campaign against Iran, even as the Iranian rial has fallen to a record low near 1.37 million per dollar.

Commodities
High

Gold Slumps Almost 3% to $4,471 as Short-End Yields Jump

Gold has reversed hard from its push toward three-month highs, falling roughly 2.8% to about $4,471 an ounce — its sharpest one-day drop of the month. The jump in short-end Treasury yields after Warsh’s inflation-focused remarks raised the opportunity cost of holding the non-yielding metal just as positioning had become crowded. Even after the drop, bullion remains on course for its biggest monthly gain since 1999, and debt and debasement concerns continue to underpin demand on dips.

Commodities
Medium

Bitcoin Breaks Below $78K and XRP Drops 4% as Crypto Turns Risk-Off

Bitcoin has lost the $80,000 level, falling roughly 3.1% to about $77,876 after failing to hold the post-May high near $81,240 set earlier this week. XRP is underperforming, down roughly 4.2% near $1.40. The selloff comes despite constructive flow data — spot Bitcoin ETFs have recorded a ninth consecutive day of net inflows and XRP spot ETFs took in $28.1 million on 26 August, their strongest single day in over seven months — a divergence pointing to leveraged positioning unwinding rather than a change in institutional demand. Both assets still hold large August gains, with Bitcoin up more than 20% on the month.

Crypto

Live · Updated 1:15pm ET, New York afternoon session, Friday 28 August 2026

Section 2 · Economic Calendar

U.S. Economic Calendar This Week — 28 August 2026

Key releases and events shaping price action through the rest of the week

U.S. economic calendar for the week of Friday, 28 August 2026, listing scheduled times, events, expectations, impact level and market read.
Time Event Forecast / Detail Impact Market Read
🇺🇸Friday, 28 August, 10:00am ET Fed Chair Kevin Warsh’s First Jackson Hole Keynote Delivered at Jackson Lake Lodge, Wyoming; theme is payments innovation 🔴 CRITICAL Hawkish-leaning tone drove a bear-flattening move in Treasuries; equities rallied then fully round-tripped the gain
🇺🇸Friday, 28 August, 9:45am ET Chicago PMI (August) Regional manufacturing activity gauge 🟢 MEDIUM Watched for confirmation of the broader ISM Manufacturing trend due next week
🇺🇸Friday, 28 August, 10:00am ET University of Michigan Consumer Sentiment (Final, August) RELEASED 10:00am ET — final print revised modestly higher vs the preliminary reading 🟢 MEDIUM The upward revision removed a potential dovish offset to Warsh’s inflation-focused tone
🇺🇸This Week Fed Funds Futures — September Meeting Odds Markets currently price roughly a 34% probability of a rate move 🔴 CRITICAL Odds firmed slightly after the 2-year yield’s post-speech jump
🇮🇷This Week Iran-Oman Strait of Hormuz Revenue-Sharing Deal Tehran stresses the arrangement does not guarantee an immediate reopening of the strait 🟢 MEDIUM Caps the upside for oil even as Bessent’s sanctions campaign against Iran intensifies
🇺🇦This Week Russia-Ukraine War Escalation Putin says talks with Ukraine yielded no results; Ukrainian strikes hit Russian refineries and ports 🟢 MEDIUM A source of two-way risk for oil and safe-haven flows into the Swiss Franc
🇺🇸Friday, 5 September August Non-Farm Payrolls Next major labor-market print ahead of the 16-17 September FOMC meeting 🔴 CRITICAL Now the next key catalyst for the Dollar, Treasury yields and the S&P 500 after today’s speech

Section 3 · Trade Ideas

U.S. Session Trade Ideas — Eight Key Instruments Today

Technical setups and fundamental context across the session’s eight key instruments

USD/CAD

FX · ~1.3853 — Little Changed as the Dollar Steadies
1.3853
▼ Flat to lower, dollar rally faded
TradingView chart
Chart by TradingView
▪ BULLISH USD/CAD — Buy Dips Toward 1.3800, Target the 1.3950 Zone
Buy Dip1.3800
Stop Loss1.3740
Take Profit1.3950

Why This Setup

Continued softness in crude oil remains a tailwind for USD/CAD, but the Dollar leg has not followed through: the pair is flat on the session near 1.3853 despite the hawkish read on Warsh, and investing.com’s own technical summary currently reads Strong Sell across the daily and hourly timeframes. Treat the bullish bias as unconfirmed until the pair reclaims 1.3900.

USD/CHF

FX · ~0.8041 — Flat as Franc Holds a Safe-Haven Bid
0.8041
▼ Softer, Franc firm as risk appetite fades
TradingView chart
Chart by TradingView
▪ BULLISH USD/CHF — Buy Dips Toward 0.8000, Target the 0.8120 Zone
Buy Dip0.8000
Stop Loss0.7950
Take Profit0.8120

Why This Setup

The 2-year yield’s sharp jump is a genuine tailwind for the Dollar leg, but the Franc’s safe-haven bid has strengthened as equities rolled over, and the pair is slightly lower on the session. Escalating Russia-Ukraine headlines remain a real source of two-way risk against this setup.

Gold (XAU/USD)

Commodities · ~$4,471 — Sharp Reversal on the Short-End Yield Jump
$4,471.09
▼ Sharply lower, worst day of the month
TradingView chart
Chart by TradingView
▪ BULLISH GOLD — Buy Dips Toward $4,520, Target the $4,700 Zone
Buy Dip$4,520
Stop Loss$4,440
Take Profit$4,700

Why This Setup

The dollar-debasement trade and persistent U.S. debt concerns remain the structural tailwind, and gold is still tracking its best month since 1999. But the near-term picture has deteriorated sharply: the post-Warsh jump in short-end yields has driven a 2.8% single-day drop that has already traded through the $4,520 buy-dip zone quoted below. Those levels were set before the selloff and need re-basing before the setup is actionable.

Crude Oil (WTI)

Commodities · ~$83.11 — Grinding Lower Into the Weekend
$83.11
▼ Lower, Iran-Oman deal eases supply fears
TradingView chart
Chart by TradingView
▪ BEARISH CRUDE OIL — Sell Rallies Toward $84.50, Target the $79.50 Zone
Sell Rally$84.50
Stop Loss$86.50
Take Profit$79.50

Why This Setup

The Iran-Oman revenue-sharing arrangement and rising Persian Gulf exports are genuine headwinds for oil, though escalating Russia-Ukraine hostilities and Bessent’s intensifying Iran sanctions campaign remain real sources of two-way risk.

S&P 500

Index · ~7,722 — Round-Tripped the Post-Speech Rally
7,722.06
▼ Lower, gains faded through the afternoon
TradingView chart
Chart by TradingView
▪ BULLISH S&P 500 — Buy Dips Toward 7,680, Target the 7,900 Zone
Buy Dip7,680
Stop Loss7,590
Take Profit7,900

Why This Setup

The Nvidia-led earnings rally is the stated bull case, but breadth is now the problem rather than the support: the Russell 2000 is down 1.23%, the Nasdaq is underperforming, and the index has round-tripped its entire post-speech gain. Warsh’s inflation focus and the jump in short-end yields are live headwinds into next week’s payrolls report. A bullish bias here fades the current session trend rather than following it.

US 10-Year Treasury Yield

Rates · ~4.70% — Higher, But the Short End Is Doing the Work
4.70%
▲ Higher, 2s +8bp vs 30s -1.5bp
TradingView chart
Chart by TradingView
▪ BULLISH YIELD — Fade Dips Toward 4.60%, Target the 4.85% Zone
Fade Dip4.60%
Stop Loss4.48%
Take Profit4.85%

Why This Setup

Warsh’s hawkish-leaning tone is a genuine tailwind for higher yields, and the short end has already repriced roughly 8 basis points. Two caveats: the long end is moving the other way, so this is a curve trade rather than a level trade, and the final Michigan sentiment print was revised modestly higher, which does not help the dovish side. September payrolls on 5 September is the next real test.

BTC/USD

Crypto · ~$77,876 — Lost the $80,000 Level
$77,876
▼ Sharply lower, broke back under $78,000
TradingView chart
Chart by TradingView
▪ BULLISH BTC/USD — Buy Dips Toward $77,500, Target the $84,000 Zone
Buy Dip$77,500
Stop Loss$74,500
Take Profit$84,000

Why This Setup

A ninth straight day of spot Bitcoin ETF inflows is a genuine tailwind and August remains a 20%-plus month. But price has already broken the $80,000 level and is trading below it, so the buy-dip zone quoted below now sits above spot rather than beneath it. The hawkish read on Warsh and this week’s options expiry around $80,000-$82,000 are doing the damage. Re-base these levels before acting.

XRP/USD

Crypto · ~$1.40 — Leading the Crypto Selloff Lower
$1.3998
▼ Sharply lower, underperforming Bitcoin
TradingView chart
Chart by TradingView
▪ BULLISH XRP/USD — Buy Dips Toward $1.30, Target the $1.65 Zone
Buy Dip$1.30
Stop Loss$1.18
Take Profit$1.65

Why This Setup

Growing institutional and ETF-related demand is a genuine tailwind — XRP spot ETFs logged their strongest single inflow day in seven months on 26 August. But the risk-off spillover flagged here as a two-way risk is now the actual tape: XRP is down roughly 4.2%, underperforming Bitcoin, with analysts watching the $1.10-$1.38 support band. Spot at $1.40 sits just above the quoted $1.30 buy zone.


Section 4 · Frequently Asked Questions

U.S. Session FAQ — 28 August 2026

Quick answers to the questions traders are asking this session

What did Fed Chair Warsh say at Jackson Hole and how did markets react?
Warsh said “inflation is running above our 2% target” and that “the Fed’s predominant focus right now should be on prices,” while also calling himself “impressed by the overall performance of the economy.” He stopped short of giving an explicit signal on the path for rates. The reaction came in two stages: equities first rallied, with the Dow and S&P 500 up roughly 0.4% and 0.3%, then gave the entire move back through the early afternoon, leaving the S&P 500 modestly negative. The bond market was more consistent, reading the tone as hawkish at the front end and sending the 2-year yield up roughly 8 basis points.
Why did the 2-year yield jump while the 30-year yield actually eased?
The 2-year Treasury yield is most sensitive to near-term Fed policy expectations, so Warsh’s emphasis on prices as the Fed’s predominant focus pushed short-end yields sharply higher. The 30-year yield, which is driven more by long-run growth, inflation and debt-supply expectations, actually eased slightly, producing a bear-flattening move in the curve rather than a broad-based yield spike.
Why is oil falling even though U.S. sanctions pressure on Iran is intensifying?
Crude Oil is easing primarily because Iran and Oman have advanced a revenue-sharing arrangement over the Strait of Hormuz, a key global chokepoint, which eases near-term supply-disruption fears even though Tehran stresses the deal does not guarantee an immediate reopening. Goldman Sachs estimates Persian Gulf oil exports have recovered to roughly two-thirds of pre-conflict levels, and that improving-supply narrative is currently outweighing Treasury Secretary Bessent’s intensifying sanctions campaign against Iran.
Why is gold struggling to extend gains despite the ongoing debasement trade?
Gold has been supported for weeks by concerns over U.S. debt levels and a weaker Dollar, the so-called debasement trade, and is still tracking its biggest monthly gain since 1999. Today it has not merely stalled but reversed hard, dropping roughly 2.8% to about $4,471. The post-Warsh jump in short-end Treasury yields raised the opportunity cost of holding non-yielding gold at a point when positioning had become crowded, which turned a pause into a sharp unwind. The broader uptrend is intact, but the near-term momentum has clearly broken.
Why are XRP and Bitcoin both selling off today?
Crypto has turned risk-off with the rest of the tape. Bitcoin has broken below $78,000, down roughly 3.1%, after failing to hold its post-May high near $81,240, and XRP is underperforming at roughly -4.2% near $1.40. The notable feature is the divergence from flows: spot Bitcoin ETFs have logged a ninth consecutive day of net inflows and XRP spot ETFs took in $28.1 million on 26 August, their strongest day in over seven months. That combination points to leveraged spot positioning unwinding around this week’s large options expiry rather than institutional demand reversing. Both still hold sizeable August gains.
What should traders watch for the rest of the U.S. session?
The scheduled data is now out: the final University of Michigan Consumer Sentiment reading was revised modestly higher, and Chicago PMI has been released. With no further U.S. data due, the rest of the session is about positioning into the weekend and month-end rebalancing flows. Watch whether the S&P 500 can reclaim the flat line into the close and whether gold stabilises after its 2.8% drop. Beyond that, ongoing Russia-Ukraine headlines, developments in the Strait of Hormuz, and positioning ahead of the 5 September Non-Farm Payrolls report are the key variables likely to shape price action into the weekend.

U.S. Session Summary — Friday, 28 August 2026 (Live Update)

Friday’s U.S. session has turned defensive as Wall Street digests Fed Chair Kevin Warsh’s debut Jackson Hole keynote, delivered at 10:00am ET. Warsh’s comment that “inflation is running above our 2% target” and that the Fed’s “predominant focus right now should be on prices” first sparked a rally, lifting the Dow and S&P 500 roughly 0.4% and 0.3%, but the move has fully reversed. As of 1:15pm ET the S&P 500 is down about 0.12% near 7,722, the Nasdaq is off 0.34% at 26,451, and the Russell 2000 is down 1.23% — the weak breadth is the story of the afternoon. The Treasury curve twisted rather than simply rose: the policy-sensitive 2-year yield jumped roughly 8 basis points, the 10-year is near 4.70%, and the 30-year eased about 1.5 basis points. In FX, the Dollar is steady rather than strong, with USD/CAD flat near 1.3853 and USD/CHF around 0.8041. In commodities, Gold has slumped roughly 2.8% to about $4,471 an ounce as the short-end yield jump undercut the debasement trade, while Crude Oil (WTI) eased toward $83.11 a barrel on the Iran-Oman Strait of Hormuz arrangement. Crypto is broadly lower, with Bitcoin breaking below $78,000 (-3.1%) and XRP down roughly 4.2% near $1.40 despite continued ETF inflows.

Important: the directional bias and the entry, stop and target levels published in the Trade Ideas section above were set earlier in the session, before this reversal. Several of them — particularly Gold, Bitcoin and the S&P 500 — have been overtaken by the move and now sit on the wrong side of spot. They should be re-based against current prices before any of them is treated as actionable. Highest-conviction session read: the tape has flipped from the morning’s risk-on tone, so the dip-buying bias below is a countertrend stance, not a continuation one. Gold’s 2.8% drop and Bitcoin’s break of $80,000 are momentum breaks rather than routine pullbacks. Size cautiously, wait for stabilisation rather than catching the move, and treat today’s Treasury curve twist as a genuine source of two-way risk into the weekend and month-end.

For the individual instruments: USD/CAD buy dips toward 1.3800, stop 1.3740, target 1.3950 — broad Dollar firmness and soft oil are genuine tailwinds, though a Michigan sentiment surprise is a real source of two-way risk. USD/CHF buy dips toward 0.8000, stop 0.7950, target 0.8120 — Warsh’s hawkish-leaning tone is a genuine tailwind, though Swiss safe-haven demand tied to Russia-Ukraine headlines is a real source of two-way risk. Gold buy dips toward $4,520, stop $4,440, target $4,700 — the dollar-debasement trade is a genuine tailwind, though higher short-end yields are a real source of two-way risk. Crude Oil sell rallies toward $84.50, stop $86.50, target $79.50 — the Iran-Oman Strait of Hormuz arrangement is a genuine headwind, though Russia-Ukraine escalation and Bessent’s sanctions campaign are real sources of two-way risk. S&P 500 buy dips toward 7,680, stop 7,590, target 7,900 — the Nvidia-led earnings rally is a genuine tailwind, though Warsh’s inflation-focused tone is a real source of two-way risk. US 10Y yield fade dips toward 4.60%, stop 4.48%, target 4.85% — Warsh’s hawkish-leaning tone is a genuine tailwind for higher yields, though a soft payrolls report on 5 September is a real source of two-way risk. BTC/USD buy dips toward $77,500, stop $74,500, target $84,000 — continued spot ETF inflows are a genuine tailwind, though this week’s options expiry is a real source of two-way risk. XRP/USD buy dips toward $1.30, stop $1.18, target $1.65 — institutional and ETF-related demand are genuine tailwinds, though higher volatility and any risk-off spillover are real sources of two-way risk. The decisive variable for the rest of the day is how trading desks continue to digest Warsh’s Jackson Hole remarks, alongside positioning into the 5 September Non-Farm Payrolls report. Size positions accordingly, and note that today’s backdrop carries genuine event risk that could reshape sentiment sharply into the weekend.

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Capital Street FX · U.S. Session Daily Technical Analysis · Friday, 28 August 2026

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© 2026 Capital Street FX. Report cross-checked and refreshed against live coverage from Reuters, Investing.com, Bloomberg, FXStreet, Trading Economics, CNBC and Yahoo Finance as of the New York morning session, 28 August 2026. Prices are indicative intraday levels and may differ from your broker’s feed. Charts are TradingView snapshots captured during the New York morning session, 28 August 2026.