Is there a chance of a rate cut in September?
In the early morning, the Fed's latest interest rate decision remained unchanged, in line with expectations. This round of interest rate hikes has been maintained at a high level for 9 months since it stopped on July 26, 2023, exceeding the 7 months of the previous round, but less than the 15 months of the 2008 financial crisis.
Considering recent events, such as the upcoming general election in November, the Fed may cut interest rates by September 19 at the latest. In addition, the Fed also gave the prerequisite for a rate cut: if the unemployment rate rises, the policy focus will shift from inflation contradictions to employment contradictions, and rising unemployment will trigger a rate cut. Therefore, don't just focus on inflation. Even if inflation is high, the Fed may cut interest rates as long as the unemployment rate rises. Relevant data will be released tonight, but the impact will not be too great, because the conditions for a rate cut have been made clear, which provides a basis for a rate cut under high inflation. Non-agricultural employment data is more worthy of attention than CPI data.
"While Bitcoin will have an impact on the market in the short term, many investors view it as a long-term asset. Bitcoin is considered a global asset that can prevent currency depreciation and cope with economic instability. Although the Fed's policies may cause short-term fluctuations, these policies will not fundamentally change the long-term development direction of Bitcoin."
If you want to know more about the relevant knowledge and first-hand cutting-edge information of the currency circle, click on the avatar to follow the big bull to publish daily market analysis and recommend high-quality potential currencies
