CoinVoice has recently learned that Federal Reserve Chairman Powell recently said that strong inflation in the first quarter has increased uncertainty about whether and when the Fed will cut interest rates later this year. Powell pointed out that if high inflation continues, the Fed will maintain the current interest rate level until it deems it necessary.
Wall Street Journal reporter Nick Timiraos interpreted Powell's remarks and pointed out that three consecutive months of inflation data have been stronger than expected, which means that the Fed's policy outlook has changed significantly, which seems to have undermined the market's previous expectations that the Fed may cut interest rates ahead of schedule.
Futures market indicators show that market expectations for the Fed to cut interest rates have further declined after Powell's comments on inflation, and investors are currently betting on one or two rate cuts this year, with expectations of around 40 basis points. [Original link]