Moments ago, the Federal Reserve announced an official interest rate cut and confirmed the end of balance sheet reduction â news that shouldâve sent markets soaring. But instead, Powellâs comments poured cold water on the excitement. âïž
đą Powellâs Key Statement:
> âIf there is no new information, we have reason to slow down the pace of interest rate cuts.â
In plain terms â this cut doesnât guarantee more to come, and a December cut is far from certain.
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đ Inside the Fed Meeting
Two members voted against the decision â showing rising internal division.
Some believe the cuts are happening too fast, while others fear the economy canât handle the pressure.
In short, the Fed is balancing on a tightrope â trying to steady growth while keeping inflation in check.
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đč Impact on Crypto & Markets
In the short term, expect volatility â sudden ups and downs are inevitable.
In the medium term, however, this move signals the start of a full monetary easing cycle in the U.S.
Still, Powell doesnât want markets to overheat. His approach? Cut rates, but with caution.
Heâs easing â but also pressing the brakes at the same time. âïž
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đ§ Bottom Line
â Rate cuts = positive signal
â But not a green light for instant rallies
Powell is guiding markets toward slow, steady adaptation â no flood of liquidity just yet.
Keep calm, manage expectations, and watch for tomorrowâs international leadersâ meeting, which could bring a more dovish tone.
