The interest rate cut in September is almost a certainty, and the hidden strategy behind Powell's 'invisible operation'!!
The interest rate cut in September has almost become a given, with the market generally expecting a high probability of a cut at 90%.
The biggest suspense is whether the cut will be 25 basis points or 50 basis points?
Currently, Goldman Sachs has already hinted at the possibility of 50 basis points, suggesting that Powell's 'operation' is moving in that direction.
This year, the Federal Reserve's action pattern is somewhat similar to last year; in July, they clearly could have cut rates but chose to hold firm and not cut.
As a result, economic data consistently fell short of expectations, and ultimately they had to take an 'additive' rate cut in September.
Behind this strategy, there may be more subtle political and financial arrangements.
Looking back at July, the Federal Reserve did not cut rates as expected, and many analysts believe this was to facilitate Wall Street and Jewish capital's smooth exit from the U.S. stock market.
In fact, if they had cut rates in July, the market's withdrawal process might have been disrupted, especially since their capital arrangements had not yet fully exited at that time.
Now, as the withdrawal nears its end, the door for a September rate cut has finally opened.
What does this mean for cryptocurrency investors?
With changes in the Federal Reserve's actions, global liquidity is expected to be further released, and risk assets, including cryptocurrencies, will welcome a new influx of capital.
The rate cut in September is not only a policy adjustment by the Federal Reserve but also a critical juncture in capital market arrangements.
