#PowellRemarks Is Powell’s Decision to Keep Interest Rates Unchanged Good or Bad for the Market?
It depends on how you look at it.
When interest rates are lowered, borrowing becomes cheaper — meaning more people are likely to take out loans and invest in riskier assets like crypto. But with rates holding steady between 4.25% and 4.5%, many investors will likely stay cautious, especially in the current climate.
Geopolitical tensions in the Middle East add another layer of uncertainty. If the situation escalates and major powers get involved, markets may react negatively. In times like these, many investors shift their money into safer assets like gold.
High interest rates already tighten liquidity. If a crisis forces even more liquidity to be pulled out of the system, we could see a broader market downturn.
That’s just my personal analysis — not financial advice.
What’s your take on Powell’s decision?