Market Data 
As expected, the FED left interest rates constant. In the statement published after the decision, it was stated that there have been deficiencies in reaching the 2% inflation target in the recent period.
Now, FED President Jerome Powell’s press conference, which started at 21:30 Turkey time (UTC+3), is being followed closely.
As Bitcoinsistemi.com, we are bringing you this conversation live. You can access Jerome Powell’s latest remarks by refreshing the page. You can also find the official live broadcast link right below.
- Inflation fell significantly last year but remains very high.
- Further progress on inflation is not guaranteed; The path is unclear.
- We are extremely careful about inflation risks.
- The restrictive policy stance put downward pressure on inflation and the economy.
- Risks to achieving bilateral goals have become better balanced in the past year.
- The labor market remains relatively tight.
- Nominal wage growth has decreased over the past year, but labor demand still exceeds supply.
- This year’s inflation data was higher than expected.
- Our policy actions are guided by our goals.
- FED officials are ‘very aware’ of the challenges posed by high inflation.
- But long-term inflation expectations remain well anchored.
- We do not think it would be appropriate to cut interest rates until we have greater confidence that inflation will return to 2%.
- Gaining greater confidence is likely to take longer than previously expected.
- Lowering policy too soon or too much, or too late or too little, both have risks.
- Inflation data so far this year have not given us any more confidence.
- Politics is well positioned to deal with the risks and uncertainties we face.
- We will make our decisions separately for each meeting.
Bitcoin (BTC) price rebounded modestly in the minutes since the news broke, but remains under pressure, falling more than 4% to $58,000 in 24 hours.
Markets entered 2024 expecting a long series of interest rate cuts from the Federal Reserve, but those hopes have faded sharply over the past few weeks as the economy continues to strengthen and inflation rose slightly in the first four months of the year. According to the CME FedWatch tool, markets (prior to today’s Fed decision) were pricing the probability of a zero rate cut this year at around 25%. A month ago, the probability that the FED would not cut interest rates in 2024 was only 1%.
However, following the decision, many investors predict that the FED will make the only interest rate cut this year in November.
*This is not investment advice.
