US central bank interest He also shifted his discounts at the last meeting, but due to tariffs, the markets are waiting for at least 4 interest rate cuts. The Fed meeting on Friday, the Fed did not make a decision. However, some signals that make it necessary for the Fed to take action are remarkable. What is the waiting for investors? What about crypto coins?
What will the Fed do?
Stocks fell with tariffs and Crypto Coins shaken. High costs, less sales, export and import problems were scared of companies and the loss of the shares were understood. However, this asset, which is believed to be safe in government bonds this week, also witnessed the escape.
First of all, the Fed is an independent institution and Powell politically TrumpHe doesn’t like it. The impression of being subsidized by the institution and the impression of the rescue of Trump by the institution is something to be avoided. So last week, Trump called Powell to Powell, saying, yap Do what you need to do what you need to do.
The Fed, which seems to be late in the 2008 financial crisis and the last inflation chaos, always says: iz We prefer to be late rather than taking the wrong step ”. Even today, we have seen the statements that they have enough advantage to see and watch.
Fed and Crypto Coins
Everyone suddenly Fedby making explanations by making explanations in the way that you can release and reduce interest rates Your crypto coins He’s waiting for him to rise. The other group is hopeful for Trump saying, “Oh I have done it wrong, I’m withdrawing or freezing the tariffs.” Today, we talked enough about why the latter will not be in the short term. The Fed won’t do that. There is not even a 2008 -like stock market collapse in the short term.
The index has not fallen more than 50 %, but the return of US treasury bonds did not even rise to the levels seen in January. The state borrowing cost is not yet at the point of alarm. But the absence of it doesn’t mean we’re not moving towards there.
Okay, what are you saying Fatih? Fed’s tendency to watch and see to intervene is strong and the patience is high. Although what forces the Fed to move is the possibility of “late”, the Fed sees this risk as a more reasonable problem compared to the possibility of taking the wrong step ”.
So what will we see if things get worse? Things in the short term crypto- And it seems to be worse for risk markets. At least if there is no big surprise. However, when the Fed takes action, it will not mean that he will do “we have made a 100BP interest rate reduction as of now”. The markets also postpone the first discount expectation in May to June and continue to withdraw to May and the discount target is 25BP. Although there is an annual 100BP discount expectation, the Blackrock CEO does not expect such a thing.
If the FED has to intervene in an emergency, the first thing to do is to announce temporary purchase to balance the fluctuation in the bonds. In doing so, he strives not to give a monetary expansion message.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.