Analyst says traders may cut risk exposure ahead of Fed, Big Tech earnings

Traders may reduce their exposure to risk assets ahead of the Federal Reserve's interest rate decision on April 30 and earnings reports from U.S. tech giants including Microsoft, Alphabet, Amazon, and Meta, according to Michael Brown, an analyst at global online broker Pepperstone. He said that with this event risk imminent, many market participants will likely seek to reduce their positions. Brown added that traders are also beginning to recognize the lack of positive news from the Middle East conflict, with no signs of a U.S.-Iran peace agreement and the continued blockade of the Strait of Hormuz.