Powell keeps it "psychological" between interest rates and inflation.. and the economy is in a state of confusion! ๐ธ๐ค
โก๏ธToday, Powell announced maintaining the interest rate at 4.25%-4.50%, but he didn't rule out the possibility of two cuts before the end of the year.
The reason? Inflation is still concerning, especially with the new tariffs that might make prices dance to the summer tune! โ๏ธ๐ฐ
โก๏ธPowell said: Economic growth will slow a bit (1.4%), and core inflation might rise to 3.1%. And the conflict in the Middle East? Don't worry, America relies less on oil from the region, but prices might fluctuate a bit. โฝ๐
โก๏ธMarkets responded by raising the dollar index by 0.11%, as if to say: "Let me live in the moment!" ๐ต๐
๐คฅIn short, the economic situation is a bit complicated, and the Federal Reserve is walking a tightrope between maintaining and cutting interest rates, and we are all waiting for the outcome!
