The US central bank, the Fed, has announced its highly anticipated interest rate decision. The Fed increased the interest rate by 0.75 basis points. Gold and Bitcoin price suddenly dropped with the FED decision. The interest rate decision was taken unanimously. FED Chairman Jerome Powell is holding a press conference half an hour after the announcement. Eyes on Jerome Powell’s statements… As Kriptokoin.com, we have compiled all the details for you, let’s examine the statements together… The article will be constantly updated with the new statements of the FED Chairman. Update the page constantly so you don’t miss the explanations!
FED President is speaking: Gold and Bitcoin investors are in these statements!
The US central bank, the Fed, announced its expected interest rate decision. The FED had increased the interest rate by 75 basis points in its previous meetings, and with this decision, the FED broke new ground 28 years later. At today’s meeting, the Fed increased the interest rate by 0.75 basis points again. The FED increased the policy rate to the range of 3.00%-3.25%. This decision came in line with market expectations. With the initial reaction, the US Dollar Index jumped to a two-year high above 111.50, gaining more than 1% on a daily basis.
The FED stated that it is extremely cautious against inflation risks and is determined to return inflation to 2%. Recent indicators point to modest growth in spending and production, according to the FED. Inflation remains high, reflecting pandemic-related imbalances, higher food and energy prices, and broader price pressures, according to the agency. Gold and Bitcoin price suddenly dropped with the FED decision. Now, Fed Chairman Jerome Powell is speaking. FED Chairman Jerome Powell is holding a press conference half an hour after the announcement of the interest rate decision. Jerome Powell’s first statements are as follows:
- The Fed is firmly committed to reducing inflation to 2 percent.
- The Fed wants interest rates to be ‘sufficiently restrictive’.
- The Fed is determined to reduce inflation.
- Price stability is our cornerstone.
- The economy cannot function without price stability.
- We deliberately move our policy stance.
- The housing sector has weakened significantly.
- Weak economic growth abroad restrains exports.
- The labor market remained extremely tight, wage growth soared.
- Job gains were solid.
- The labor market remains unstable.
- The economy cannot function without price stability.
- There may be some softening in the labor markets.
- Before considering rate cuts, we need to make sure that inflation has dropped to 2 percent.
- The pace of future rate hikes will depend on the economy.
- We think that the continuation of interest rate increases is appropriate.
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