đ Jerome Powell's FOMC Meeting Highlights
Economic Recovery Vs. Inflation War:
đ Economic Data: The Fed notes that economic indicators are recovering to pre-pandemic levels. However, inflation is still above its 2% target.
đĄ Interest Rate Decision Dilemma: Cutting rates too soon could boost inflation, but delaying could lead to a recession. The Fed is monitoring the situation closely and could consider cutting rates in September if inflation continues to decline and the labor market stabilizes.
Upcoming Data & Fed Strategy:
đ Important Data: Key jobs data will be released before September. The Fed plans to conduct a detailed assessment after the meeting to consider the possibility of a rate cut. They insist that their decision-making process is not affected by the presidential election, despite Trump's statements to the contrary.
CBDC Discussion:
đ« The Fed will not discuss central bank digital currencies (CBDCs) at this time due to congressional issues.
Market Reaction:
đ Traditional Markets Rising: DJ, Nasdaq, S&P500, Nvidia, gold and oil all saw gains following the speech.
Crypto Declines: In contrast, Bitcoin and other cryptocurrencies saw significant declines.
Stay tuned for further updates on how these decisions affect the markets!
