US Fed’s Jerome Powell Speech: Strongly Committed To Bring Down Inflation

Anvesh Reddy
June 15, 2023
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Will Bitcoin Price Hit $100K Ahead of Powell's Testimony on Tuesday?

Crypto Market News: US Federal Reserve Chair Jerome Powell on Wednesday said the central bank is keen on bringing the inflation rate down to the 2% target. He said that almost all policymakers view the need for some rate hikes later in the year. He had delivered the remarks in a press conference following the decision to pause interest rate hike. Earlier, the Fed officials felt it was appropriate to keep the interest rate unchanged at the current range of 5-5.25%, while it signaled that rate hikes may be possible later in the rest of 2023.

Meanwhile, the Bitcoin price showed slightly negative reaction to the central bank’s stance although it is possible that the dip is precursor to a market rally.

Also Read: What In Fed Chair Jerome Powell Speech Could Spur Bitcoin Price Rally?

Powell said inflation had ‘somewhat’ moderated but admitted that high inflation pressures means getting inflation back to the 2% target has a long way to go. At the end of 2023, the US Federal Reserve officials see inflation at 3.2% and 2.5% by the end of 2024, compared to the central bank’s target of keeping the inflation rate down at 2%. Whereas the officials see core inflation at the end of 2023 and 2.6% at the end of 2024.

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“Additional Rate Hikes Possible”

The Fed officials warned that the central bank may not yet be done with raising interest rates, despite cooling inflation and the current pauses. This would add to the uncertainty in the market until the end of 2023, potentially benefiting Bitcoin, as investors might prefer risky assets in the crypto market. Interestingly, a majority of Fed officials forecast interest rate cuts in 2024. He clarified that the Fed did not take any decision on rate hikes in July 2023, , saying that the central bank will continue to make decisions meeting by meeting.

Also Read: Twitter Founder Jack Dorsey Makes New Pledge to Support Bitcoin Developers

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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
Anvesh reports major crypto updates around U.S. regulation and market moving trends. Published over 1400 articles so far on crypto and blockchain. A proud dropout of University of Massachusetts, Lowell. Can be reached at [email protected] or x.com/BitcoinReddy or linkedin.com/in/anveshreddybtc/
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.