FOMC at 1:00 a.m. on August 1, 2024 (2 more hours)
In the last 4 times, FOMC increased 3 times and decreased 1 time
(Decreased at the time the German government sold Bitcoin)
Currently, the FOMC still keeps interest rates at the same level
5.25% - 5%. The highest level in 23 years and maintained since July 2023
Interest rate decision meeting on August 1: Expected to keep interest rates unchanged, possibly opening the possibility of cutting interest rates in September if inflation continues to move closer to the Fed's 2% target
- PCE recently increased 2.5% in June, down from a 2.6% increase in May.
- Since March, annual inflation has increased only 1.5% per month, 0.5% lower than the Fed's 2% target.
- Another measure that excludes food and energy prices (core PCE) is at 2.3%, close to the Fed's 2% target
=> Since the PCE announcement on July 26, with current inflation near the 2% target, the Fed has reason to keep interest rates unchanged, because inflationary pressure has gradually decreased and does not threaten economic stability. .
If inflation continues to decline and stabilize below the target level, the Fed may consider cutting interest rates in the future to stimulate economic growth.
At this time, the USD decreased in value -> Switched to riskier assets to seek profits -> Bitcoin or something was chosen -> Price increased.
But you also need to pay attention to transferring BTC to the US
Source: Virtual Money Blog
