🔥BOMBAZO🔥
THE STATEMENTS FROM POWELL ARE CAUSING #BITCOIN AND THE SP500 TO RISE
💥Powell: "A RATE HIKE IS NOT the baseline scenario of ANY MEMBER of the FED"
What did he comment on data that could bring us MORE RATE CUTS than projected⁉️
▪️Powell emphasized that UNEMPLOYMENT is at greater risk than INFLATION
▪️He claims that the LACK of DATA is a problem (they do not have the employment report for October or November) and that they will make decisions as the data comes in
▪️He comments that the PROJECTIONS of 1 cut for 2026 are uncertain and may change
▪️Additionally, he adds that they believe that the UNEMPLOYMENT RATE will rise for 1 or 2 months
▪️Finally, he commented that they believe that inflation from tariffs will be a one-time impact and NOT PERSISTENT
👉In light of these statements, the INTEREST RATE FUTURES are once again projecting 2 cuts for 2026, despite the FED's projection of 1 cut
👀On the other hand, regarding the PURCHASE OF $40B of short-term bonds:
-Powell comments that the purchases of Treasury bills will be maintained for a few months
-He justified the purchases with what we have been discussing for a while: bank reserves falling to levels that the FED considers low
-This would generate more liquidity, reduce the yield of short-term bonds, and make investment in equities more attractive (like $BTC for example)
📍Wall Street is reacting to the "more dovish" (favoring stimulus) rate cut than expected, which came with an announcement of BOND PURCHASE (similar to a QE) and focus on UNEMPLOYMENT.
#Fed #BTCVSGOLD #USChinaDeal #ETHBreaksATH #Xrp🔥🔥
