🇺🇸 Stephen Miran Shakes Markets “We Need a Sharp 1% Rate Cut!” 💥💸
In a bold turn, Federal Reserve Governor Stephen Miran has publicly called for aggressive monetary easing arguing that current policy is too restrictive for the U.S. economy and recommending a 1 percentage-point cut in interest rates to set things right.
🔍 Why the Fireworks
Miran argues that the neutral interest rate has fallen, meaning the current federal funds rate is more restrictive than it appears.
He has repeatedly dissented from mainstream Fed thinking wanting a larger cut than what Jerome Powell & the Federal Reserve approved.
Miran’s stance has raised alarms among markets and policymakers because it could signal a dramatic policy shift.
💡 What It Means for Markets & Crypto
If Miran’s proposal gains traction, borrowing costs could drop significantly, boosting equities, risk assets and indeed cryptocurrencies like Bitcoin and Ethereum that thrive in lower-rate environments.
But there’s risk: a faster cut might reignite inflation or force the Fed into a reactive position and markets hate uncertainty.
For the crypto space: dovish monetary policy often translates into higher liquidity, more risk appetite, and stronger speculative flows meaning this could be a catalyst if Miran’s view prevails.
🚨 Why It’s Urgent
The U.S. is already facing headwinds: labor softness, weak data due to the government shutdown, and global trade tensions.
Miran points out that while we’re not yet at a crisis, the longer policy stays restrictive, the greater the risk of growth stalling.
With divergent views within the Fed, this could mark the beginning of volatility in interest rates, which cascades into all asset classes, including crypto.
🏁 Final Take
Miran’s bold call for a 1% rate cut is not just noise it’s a clear sign that a major policy pivot is possible.
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