1ā£ Official Confirmation:
Jerome Powell has just confirmed what the marketās been anticipatingā**rate cuts** are on the way, with the announcement expected at the September Fed meeting! š
2ā£ **Why the Cut?**
Powell pointed to a **decreased risk** of runaway inflation, expressing confidence that the **CPI** is edging toward the Fed's 2% target. But is the optimism justified? š¤
3ā£ **Inflation Reality Check:**
The latest CPI reading is **2.9%**āstill well above the Fed's target. **Inflationary pressures** remain stubborn, leaving questions about just how much rates will be slashed.
4ā£ **Budget Deficit Warning:**
With a **$1.8 trillion** annual budget deficit looming, the inflation outlook is far from clear. The deficit adds fuel to the inflationary fire, complicating the Fed's balancing act. š„
5ā£ **Market Impact:**
As rate cuts approach in this inflationary environment, **Bitcoin** and other assets with **limited supply** could surge, while those holding wealth in dollars may face a hit to their purchasing power. The stakes are sky-high! šš°
**Powellās words have set the stage for a potentially explosive market reactionāare you ready?**