In his recent statements, Jerome Powell, the Chairman of the Federal Reserve, confirmed that inflation remains above target levels, and that the Fed will maintain a tight monetary policy until it sees 'clear and compelling evidence' of falling prices.

Financial markets reacted quickly, with:

The US dollar rising.

Risk appetite in stocks and cryptocurrencies declining.

Expectations for any delay in interest rate cuts increasing.

Powell's remarks mean that investors should be more cautious, diversifying their investment portfolios and carefully assessing risks.