🤖 NO - RATE CUT or RATE CUT ? 🤯
Federal Reserve Chair Jerome Powell's expected stance against calls for interest-rate cuts during his press conference on Wednesday.
Powell is anticipated to push back on these calls from the White House and Wall Street, emphasizing that the Fed will not consider rate cuts until inflation from tariffs has peaked and there are significant cracks in the labor market.
Economists predict the Fed will hold rates steady at 4.25%-4.5% and that rate cuts, if they occur, will likely happen in the second half of the year as the economy faces stagflationary pressures.
🔮 Looking Ahead
While a rate cut in the May meeting is improbable, market participants anticipate potential rate reductions later in the year, contingent on economic developments. Some economists predict the Fed may begin easing rates in July or December, depending on factors such as inflation trends and labor market conditions.
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