Brothers, when I woke up this morning and saw Bostic's speech, didn't it feel a bit confusing?
These people at the Federal Reserve talk about rate cuts, but they hold a knife for rate hikes.
Bostic directly stated: I haven't cast a single vote for a rate cut in the 2026 dot plot!
Why? Because he feels something is off about this.
He predicts that next year's GDP growth rate can reach 2.5%. From the perspective of Americans, as long as the economy can still achieve this speed, it indicates that the fundamentals are still okay, and there's no need to resort to drastic rate cuts to 'boost confidence.'
This is called 'restrictive policy.'
Translated into plain language: although I'm not raising rates anymore, I'm also in no rush to cut rates; I'll keep the interest rates high, making you (the market) uncomfortable, and slowly smother the flames of inflation.
It's like playing contracts, getting stuck in long positions; the big players won't directly pull the market up to save you, but instead will oscillate at high levels, wearing down your bullets and patience until you cut your losses or become completely honest, then they might make a move.
Do you understand the logic behind it?
The current script is: Economic data doesn't look that bad (GDP 2.5%), inflation is still alive but not well.
So the strategy of the Federal Reserve is to 'drag it out'.
Since there is no recession, there’s no reason to unleash a flood of liquidity.
Only when it really can't go on, or rather, only when this 'shit' gets big enough that everyone can't stand it anymore, will that kind of epic stimulus policy possibly come out.
But now? Now it's just making you 'uncomfortable', it's not yet 'collapsed'.
So brothers, don't stare at the K-line chart every day fantasizing about a big explosion tomorrow.
The current market situation is just waiting.
Wait for that real 'breaking point'.
Either wait for the economic data to crash suddenly, forcing the Federal Reserve to flood the market; or just honestly kill time in this oscillating range.$BTC
