FederalReserve

The biggest near-term risk for the U.S. dollar could be political pressure from President Donald Trump pushing the Federal Reserve toward an overly dovish stance, warns a senior executive at PGIM Fixed Income.
🔹 Trump has repeatedly criticized Fed Chair Jerome Powell and the Board of Governors for not cutting rates aggressively enough, fueling concerns that monetary policy may be swayed by political influence.
🔹 The dollar has already fallen ~9.5% this year against a basket of major currencies, highlighting growing investor unease.
⚡ Key Watchpoint: Any signs of Fed capitulation to political pressure could deepen dollar weakness and increase volatility across global markets.
#USD #FederalReserve #Trump #Forex #GlobalMarkets
$TRUMP
$BNB

Let’s talk about something that’s shaking both Wall Street and the crypto streets the Federal Reserve is under pressure to cut rates and fast. Governor Milan just came out swinging with a clear warning: keeping rates this high (4%–4.25%) is not just restrictive, it’s dangerous.
He basically said, “Why risk slowing the economy when we don’t need to?” And honestly, that hits home not just for traditional markets but for the entire digital economy we’re building right now.
Restrictive Rates = Fragile Economy
Here’s the thing: when the Fed holds rates way above neutral (we’re talking 150–200 basis points too high), everything slows down. Borrowing gets expensive, businesses delay growth, and risk assets from tech stocks to your favorite altcoins get hammered.
Milan’s point? A restrictive stance leaves us too exposed to downside shocks. Think about it like this: the economy is running with ankle weights while trying to sprint. Sooner or later, it trips.
Why Crypto Cares So Much
Now, let’s bring this back to our world. Look at the charts:
Bitcoin is steady around $111,700,
Ethereum struggling to hold $4,100,
DeFi liquidity feels like it’s moving through molasses.
Every single one of these pain points links back to restrictive policy. Crypto thrives when liquidity is free-flowing and investors aren’t scared of high borrowing costs.
That’s why Milan’s proposal for back-to-back 50 bps cuts is a big deal. If the Fed takes his path, suddenly money loosens, risk appetite returns, and the crypto bid gets stronger.
Milan Game Plan
He’s not saying “slash blindly. His roadmap looks like this:
Immediate 50 bps cuts bring us closer to neutral quickly.Pause and monitor once rates are balanced, slow it down. Stimulate without overheating enough fuel to grow, but not enough to spark runaway inflation.
It’s aggressive, but it’s calculated. And with non-farm payrolls due next week, every data point could tilt the decision. Weak jobs? Expect urgency. Strong jobs? Maybe a slower hand.
Why This Could Be Crypto’s Golden Window
Think about the timing:
Bitcoin ETFs just pulled in $241M of fresh inflows.
Institutions are sitting on the sidelines, waiting for macro clarity.
Real-world assets on-chain? Already above $6 trillion.
Now add lower rates into that mix. You’ve got:
Cheaper borrowing for businesses building in DeFi.
More liquidity pouring into altcoins and ETH.
Accelerated adoption as risk appetite returns.
This isn’t just about rate cuts it’s about unlocking the next phase of crypto integration into mainstream finance.
Beyond Rates: A Shifting Landscape
It’s not happening in a vacuum. Look around:
Ohio is greenlighting crypto for state services.
SharpLink is sitting on $500M ETH profits.
Blockchain settlement volumes are running into billions daily.
The digital asset economy isn’t waiting for the Fed. It’s already embedding itself into real finance. But a supportive macro backdrop? That’s the rocket fuel.
The Road Ahead
Milan’s warning feels less like a speech and more like a reality check. If the Fed acts now, it doesn’t just save the economy from fragility it creates the breathing space for crypto and Web3 to accelerate into the mainstream.
This is the crossroad:
Keep rates too high strangle growth, stall adoption.
Cut swiftly and strategically unleash liquidity, spur innovation, and cement digital assets as part of the core economy.
The message is simple: restrictive policy is yesterday’s tool, but the digital economy is tomorrow’s reality.
And the sooner the Fed understands that, the sooner we’ll see Bitcoin, Ethereum, and the entire crypto space thrive in an environment built for resilience and innovation.
#FederalReserve #InterestRates #Bitcoin #Ethereum #CryptoAdoption

the current interest rate level remains sufficiently restrictive to curb inflation.
- The Fed's core objective is to stabilize the inflation rate at 2%, with flexible adjustments based on economic data.
- Powell noted that despite easing inflation, the labor market remains tight, and economic growth shows resilience.
Market Reaction 📈:
- $ALPINE: 4.8935 (+127.44%)
- $SNX: 1.182 (+23.64%)
- $BTC: 109,237.2 (+0.17%)
- $ETH: 3998.94 (+2.50%)
- $ENA: 0.58 (+1.81%)
What's Next? 🔮:
- No clear timetable for the next interest rate hike or cut, with decisions being data-dependent.
- The Fed aims to balance controlling inflation while minimizing the impact on economic growth.
#FederalReserve #InterestRates #InflationControl #EconomicGrowth #CryptoMarket

The financial landscape is experiencing a period of relative calmness as of yet, yet markets are bracing for significant future volatility, according to insights from Glassnode reported by Foresight News. Recent data reveals that despite short-term sell-offs driving fluctuations in implied volatility, long-term volatility remains steady, reflecting a strategic focus on long-term options among traders. This dual trend, detailed on September 26, 2025, underscores a market poised for stability in the near term while preparing for potential turbulence ahead, influencing a $20 trillion global economy and a $4 trillion cryptocurrency sector.
Current Calm Amid Short-Term Fluctuations
Glassnode’s analysis highlights that recent sell-offs have triggered short-term spikes in implied volatility, a measure of expected price swings derived from option pricing. These fluctuations, observed over the past week, stem from profit-taking and macroeconomic uncertainties, including the upcoming Federal Reserve PCE data release tonight at 8:30 PM ET. However, the market has quickly recalibrated, reducing expectations for immediate price movements, with short-term volatility dropping to 15% from a peak of 20% in early September.
This stability reflects trader confidence in current economic conditions, supported by a resilient U.S. economy with 2.5% GDP growth projected for 2025 and a labor market holding at 4.2% unemployment. The calming effect is further bolstered by the Federal Reserve’s recent quarter-point rate cut to 4.00%–4.25% on September 17, signaling a measured approach to monetary policy.
Long-Term Volatility and Strategic Focus
Despite the short-term calm, long-term volatility remains stable, hovering around 25%, according to Glassnode’s on-chain data. This consistency indicates that traders are prioritizing long-term options, valuing contracts with expirations extending into 2026. The focus suggests a belief in sustained market growth, with analysts pointing to a projected $1 trillion cryptocurrency market expansion by 2029 and robust corporate Bitcoin holdings at 1.011 million BTC, or 5% of the circulating supply.
This long-term perspective aligns with global trends, including 43 Bitcoin ETFs and 21 Ethereum ETFs attracting $625 billion in inflows in 2025. Traders are hedging against potential disruptions, such as U.S. tariff impacts or a possible government shutdown with a 66% probability, by maintaining exposure to options that offer flexibility amid uncertain macroeconomic shifts.
Implications for Asset Prices
The mixed volatility signals carry significant implications for asset prices across equities, gold, and cryptocurrencies. The S&P 500, up 33.75% from its April low, may face pressure if short-term stability falters, while gold, trading above $2,600 per ounce, could see renewed safe-haven demand if volatility spikes. In the cryptocurrency sector, stable long-term volatility supports confidence in digital assets, though sudden shifts could trigger sell-offs.
Market watchers emphasize that even small deviations in upcoming data, like the PCE release, could amplify volatility. A higher-than-expected inflation reading might strengthen the U.S. dollar at 97.45 on the DXY, pressuring risk assets, while softer data could boost equities and crypto, with analysts from Morgan Stanley projecting a 5%–10% range for potential moves.
Challenges and Market Outlook
The market faces challenges in maintaining this balance, with risks including geopolitical tensions and divergent global policies, such as the European Central Bank’s 3.00% rate and the Bank of Japan’s steady 1.00%. A potential U.S. shutdown could disrupt economic data, adding uncertainty, while the $4 trillion cryptocurrency market’s growth introduces additional complexity.
Opportunities emerge from the stable long-term outlook, enabling investors to strategize with long-term options and diversify portfolios. The anticipated volatility could also drive innovation, with institutions exploring blockchain solutions to mitigate risks, as seen in Kazakhstan’s recent KZTE stablecoin launch on Solana.
Preparing for a Dynamic Future
Despite the current market stability, the anticipation of future volatility underscores a strategic shift among traders, as revealed by Glassnode’s data. With long-term options gaining traction and short-term fluctuations subsiding, the financial landscape is poised for growth while navigating potential turbulence. As global markets await key data and policy decisions, this balanced approach positions investors to thrive in a dynamic, evolving economic environment.
#MarketVolatilit #FederalReserve

In a compelling call to action, Federal Reserve Governor Milan has warned that the U.S. economy faces significant risks if the central bank delays reducing its restrictive interest rates. Speaking on September 25, 2025, Milan highlighted that the current federal funds rate, ranging from 4% to 4.25%, is substantially above the neutral level, stifling economic growth and leaving the economy vulnerable to downside shocks. Advocating for prompt and decisive rate cuts, Milan’s remarks underscore the urgency of recalibrating monetary policy to foster stability and support the burgeoning digital asset ecosystem, including cryptocurrencies like Bitcoin and Ethereum.
A Restrictive Policy Threatens Economic Stability
Governor Milan emphasized that the Federal Reserve’s current policy rate is “highly restrictive,” estimating it to be 150-200 basis points above the neutral level needed to balance economic growth and inflation. “When monetary policy is in a restrictive stance, the economy is more susceptible to downside shocks,” Milan stated. “In my view, there is really no need to take this risk.” This cautionary stance reflects growing concerns about the potential for economic slowdown, particularly as global markets navigate volatility and inflationary pressures.
The restrictive rates, designed to curb inflation, have increased borrowing costs, impacting sectors from real estate to technology and cryptocurrencies. With Bitcoin holding at $111,700 and Ethereum dipping below $4,100, the digital asset market is particularly sensitive to monetary policy shifts. Milan’s call for swift action aligns with market expectations of two 25 basis point rate cuts in October and December 2025, as well as his own proposal for more aggressive 50 basis point reductions to expedite economic relief.
A Strategy for Measured Rate Reductions
To mitigate these risks, Milan proposed a bold yet cautious approach: implementing consecutive 50 basis point rate cuts in the near term to quickly align rates with a more neutral stance. Once the target range is achieved, the Federal Reserve could adopt a more measured pace, carefully monitoring economic indicators to avoid overshooting. This strategy aims to stimulate investment and spending while preventing inflationary spikes that could destabilize the economy.
Milan’s proposal builds on his earlier remarks advocating for gradual rate reductions, but the urgency of his latest statements reflects heightened concerns about economic vulnerabilities. The upcoming non-farm payroll report, due next week, will be a critical factor in shaping the Fed’s timeline. Stronger-than-expected data could temper the pace of cuts, while weaker figures may reinforce the need for immediate action.
Implications for Cryptocurrencies and Financial Markets
The Federal Reserve’s monetary policy decisions have far-reaching implications, particularly for the cryptocurrency market, which thrives in less restrictive financial environments. The recent $241 million inflow into Bitcoin spot ETFs, despite market pressures, signals robust institutional demand that could be further bolstered by lower interest rates. A more accommodative policy could also support Ethereum, which has struggled to maintain the $4,100 level, by encouraging investment in risk assets and fostering innovation in decentralized finance (DeFi).
The broader financial landscape, with over $6 trillion in on-chain real-world assets and billions in daily blockchain transactions, is poised to benefit from a looser credit environment. Lower rates could reduce borrowing costs for businesses, stimulate consumer spending, and enhance liquidity in digital asset markets, driving adoption and growth. Milan’s advocacy for swift rate cuts aligns with these dynamics, positioning the Fed to support a resilient and innovative economic ecosystem.
Navigating a Complex Economic Landscape
Milan’s warning comes at a critical juncture, as the U.S. economy balances growth, inflation, and global uncertainties. The restrictive policy stance, while effective in taming inflation, has raised concerns about stifling economic activity, particularly in high-growth sectors like technology and blockchain. The Federal Reserve must navigate these challenges carefully, ensuring that rate reductions are timed to maximize impact without reigniting inflationary pressures.
The cryptocurrency sector, in particular, is sensitive to monetary policy shifts, with institutional investors closely monitoring the Fed’s actions. Recent developments, such as Ohio’s approval of cryptocurrency payments for state services and SharpLink’s $500 million in unrealized Ethereum profits, highlight the growing integration of digital assets into mainstream finance. Milan’s call for prompt rate cuts could amplify these trends, fostering a more supportive environment for blockchain innovation.
Shaping a Resilient Economic Future
Governor Milan’s urgent call for interest rate reductions underscores the Federal Reserve’s pivotal role in safeguarding economic stability. By advocating for consecutive 50 basis point cuts, Milan aims to mitigate the risks of a restrictive policy stance, ensuring that the U.S. economy remains resilient in the face of potential shocks. As the Fed prepares for its next policy moves, the interplay of monetary policy and digital asset markets will be a key factor in shaping the financial landscape.
With the cryptocurrency market navigating volatility and institutional adoption accelerating, Milan’s proposal offers a roadmap for fostering growth and innovation. By acting swiftly to ease restrictive rates, the Federal Reserve can support the burgeoning digital economy, paving the way for a dynamic and inclusive financial future that bridges traditional and decentralized systems.
#FederalReserve #interestrates

In a significant statement on monetary policy, Federal Reserve Governor Miran has called for a measured reduction in interest rates, citing their overly restrictive nature as a potential drag on economic growth. Speaking on September 25, 2025, Miran suggested that current rates are 150-200 basis points higher than optimal, proposing a series of 50 basis point cuts to gradually ease financial conditions. This recommendation comes as markets anticipate a more accommodative stance from the Federal Reserve, aligning with broader expectations of two 25 basis point rate cuts in October and December 2025, and reflects growing concerns about balancing economic stability with inflation control.
Addressing Overly Restrictive Rates
Governor Miran’s remarks highlight the Federal Reserve’s ongoing challenge to calibrate monetary policy in a dynamic economic environment. With interest rates at their highest levels in over two decades, Miran argues that the current policy stance, estimated to be 150-200 basis points above neutral, is stifling economic activity more than necessary. “The restrictive nature of rates is holding back growth potential,” Miran stated, advocating for a methodical approach to lowering rates by 50 basis points per adjustment to avoid abrupt market disruptions.
This proposal aligns with market expectations of a loosening credit environment, as evidenced by recent cryptocurrency market dynamics, where Bitcoin held steady at $111,700 and Ethereum dipped below $4,100. The anticipation of rate cuts has fueled cautious optimism, particularly in digital asset markets, which are sensitive to monetary policy shifts. Miran’s call for gradual reductions aims to stimulate investment and spending while maintaining the Fed’s commitment to managing inflation, which has stabilized but remains a focal point for policymakers.
Strategic Implications for the Economy
The Federal Reserve’s current federal funds rate, maintained at a restrictive level to curb inflationary pressures, has drawn scrutiny for its impact on borrowing costs and economic growth. Miran’s advocacy for a 50 basis point cut per adjustment reflects a balanced approach, aiming to ease financial conditions without triggering inflationary spikes. This strategy is particularly relevant as the U.S. economy navigates a complex landscape, with robust institutional demand for digital assets—evidenced by $241 million in Bitcoin ETF inflows—and a resilient yet volatile stock market.
The proposed rate reductions are expected to have far-reaching implications, particularly for industries sensitive to interest rate changes, such as real estate, technology, and cryptocurrencies. Lower rates could reduce borrowing costs, stimulate investment, and bolster asset prices, including digital assets like Bitcoin and Ethereum, which often thrive in less restrictive financial environments. However, Miran emphasized the need for caution, noting that gradual cuts would allow the Fed to monitor economic indicators, such as next week’s non-farm payroll data, to ensure stability.
Aligning with Broader Market Expectations
Miran’s proposal comes amid growing market anticipation of a more accommodative monetary policy. Investors and analysts are closely watching the Federal Reserve’s next moves, with expectations of two 25 basis point rate cuts in October and December 2025, as noted in recent market analyses. These anticipated cuts are seen as critical to sustaining economic momentum, particularly as the fourth quarter historically favors risk assets like cryptocurrencies.
The Federal Reserve’s cautious approach to rate reductions is informed by recent economic data, including stable inflation rates and strong institutional interest in digital assets. The cryptocurrency market, with over $6 trillion in on-chain real-world assets and billions in daily transactions, remains a key barometer of investor sentiment. Miran’s gradualist stance aims to support this ecosystem by fostering a predictable and stable financial environment, encouraging innovation and investment.
Challenges and Considerations
While Miran’s proposal has garnered attention, it faces challenges in implementation. A sudden shift in monetary policy could unsettle markets, particularly if economic indicators, such as the upcoming non-farm payroll report, signal unexpected strength. The Federal Reserve must also balance the risks of reigniting inflation against the need to support growth, a delicate task in an economy marked by global uncertainties and domestic volatility.
The cryptocurrency sector, in particular, is sensitive to interest rate changes, with assets like Bitcoin and Ethereum often reacting to shifts in monetary policy. Miran’s call for measured rate cuts aims to provide clarity and stability, ensuring that digital asset markets can continue to attract institutional investment while navigating short-term pressures. The success of this approach will depend on the Fed’s ability to align its actions with evolving economic conditions.
Shaping the Future of Monetary Policy
Governor Miran’s advocacy for gradual interest rate reductions marks a pivotal moment in the Federal Reserve’s approach to monetary policy. By proposing 50 basis point cuts to address overly restrictive rates, the Fed is signaling its commitment to fostering economic growth while maintaining vigilance over inflation. This strategy could have profound implications for the cryptocurrency market, where institutional adoption continues to grow, and for the broader economy, which is navigating a complex interplay of innovation and regulation.
As the Federal Reserve prepares for its next policy decisions, Miran’s proposal offers a roadmap for balancing growth and stability. With markets anticipating a more accommodative stance and digital assets playing an increasingly central role in global finance, the Fed’s actions will shape the trajectory of both traditional and decentralized economies, paving the way for a dynamic and resilient financial future.
#FederalReserve #interestrates

U.S. stock indices took a hit, signaling a surge in market volatility after a run of historic peaks. The S&P 500 settled at 657.943 USD, down about 0.5% from its prior close of 661.1 USD. Earlier this week, on September 23, the S&P 500 shed 0.6%, the Dow Jones Industrial Average slipped 0.2%, and the Nasdaq Composite fell 0.9%. This pullback halts the momentum that propelled the S&P 500 to its 28th all-time high of 2025 just days ago.
What’s Driving the Downturn?
Valuation Reality Check: After a robust 2025, with the S&P 500 up 13.2% year-to-date as of September 23, investors are reevaluating lofty valuations. Federal Reserve Chair Jerome Powell’s observation that stocks appear "richly priced" sparked profit-taking, especially in tech heavyweights like Nvidia, which dragged markets lower.
AI Hype Under Scrutiny: Social media buzz points to growing unease about an AI-fueled bubble, with overextended stocks like Nvidia pulling down indices. The Nasdaq’s steeper 0.9% drop earlier this week likely carried into September 26, amplifying market jitters.
Mixed Economic Signals: While jobless claims dropped to 218,000—beating forecasts and reflecting a resilient labor market—other indicators raised red flags. Stalled home sales due to climbing mortgage rates and concerns over slowing job growth, coupled with sticky inflation, kept investors on edge.
Fed Policy Uncertainty: The Federal Reserve’s cautious approach to rate cuts, projecting a federal funds rate of 3.75% in 2025 from 4.75%, has stirred unease. Investors are grappling with potential tariff-driven inflation, which could lift yields and pressure stock prices.
Volatility in Focus
Market turbulence is spiking, with August 2025 data showing heightened uncertainty compared to historical averages. The September 23 dip snapped a three-day streak of record highs, setting a wary tone for the week. The S&P 500’s intraday swings on September 25, ranging from 654.446 to 661.643 USD, highlight persistent choppiness.
Looking Ahead
Despite the recent stumble, the S&P 500’s 13.2% gain in 2025 underscores a strong year, though it’s off its February peak after a 4.3% first-quarter drop and a sharp 10% decline in early April. Small-cap and value stocks have recently outperformed but remain undervalued, hinting at a potential pivot from overpriced tech names.
Today’s market slide reflects a mix of profit-taking, valuation concerns, and macroeconomic headwinds. With the S&P 500 at 657.943 USD, near its 2025 high of 667.34 USD, volatility suggests investors are bracing for challenges like tariffs and shifting Fed policies.
#StockMarket #MarketVolatility #SP500 #FederalReserve #EconomicOutlook

Congressional Stalemate Chokes Government and Markets
The United States is once again on the brink of a government shutdown – and this time, the consequences could hit financial markets harder than ever. With just days left to approve funding, Republicans and Democrats remain locked in yet another stalemate.
If the government shuts down, it won’t just mean missed paychecks for federal workers. What’s at stake is the functioning of the entire financial system.

No Data, Fed Left in the Dark
As Reuters reported, a shutdown would immediately halt the release of critical economic data – from inflation numbers to jobs reports. These are the very indicators that investors and the Federal Reserve rely on to understand what’s happening in the economy.
“The Fed may be flying blind,” warned analysts at Nomura, noting that without updated figures, the central bank might stick to its current outlook – two 25-basis-point rate cuts by the end of 2025 – without any certainty that this path reflects reality.

Trump’s White House Pushes for Layoffs
This week, President Donald Trump’s administration instructed federal agencies to prepare for mass layoffs, not just temporary furloughs. That marks a sharp departure from previous shutdowns. Observers see it either as political pressure aimed at forcing Democrats to accept the Republican budget or as part of Trump’s long-standing goal to shrink the federal workforce.
Some institutions – such as banking regulators and the Consumer Financial Protection Bureau (CFPB) – would remain operational, since they are not funded directly through congressional appropriations.

Regulators Nearly Paralyzed
If the shutdown takes effect, financial oversight would be thrown into crisis. The SEC’s contingency plan from last October envisions the vast majority of staff sent home, leaving only a skeleton crew to handle filings and maintain order in equity markets.
Similarly, the Commodity Futures Trading Commission (CFTC) would lose nearly all of its staff, halting the publication of futures and options reports that traders rely on to gauge market sentiment.
History shows the fallout can be severe. In 2019, for instance, a prolonged shutdown derailed Trump’s deregulatory agenda, as the Federal Register could not publish new rules.

Countdown Nears the End
Without economic data, the Fed is blind. Without regulators, the market loses stability. Without the SEC, IPOs dry up. Each passing day of crisis would deepen the chaos and fuel investor anxiety.
Unless Congress pulls off a last-minute political miracle, the United States is heading toward a shutdown that could freeze the financial system.

#FederalReserve , #USPolitics , #TRUMP , #markets , #SEC

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