**Cutting rates could be a mistake unless the goal is to postpone a crash by creating an inflationary bear market.**

šŸ”¶ **Market decline, but no crash**: Lower rates might prevent an immediate crash, but commodity speculation could inflate prices.

šŸ”¶ Similar to the Fedā€™s actions in **2000 and 2007**, this could delay a crash but worsen the eventual recession.

šŸ”¶ **Inflationary bear markets**: Cutting rates may lead to slow market declines driven by inflation, rather than a sharp crash.

šŸ”¶ **Delaying the inevitable** could result in more severe economic problems down the road.

This approach may seem to buy time, but it risks making the eventual downturn far more painful.

#EconomicPolicy #InterestRates #FedBeigeBook #FOMC #BinanceTurns7