Federal Reserve Chair Jerome Powell is reassessing the approach to potential interest rate cuts in light of internal tariff debates.
Powell Hints at Possible Policy Changes on Interest Rates
Fed Chair Jerome Powell indicated a potential shift in the interest rate policy amid discussions on Trump's tariffs. He suggested that signs of inflation decline or weakening labor market could prompt a reconsideration of rate cuts.
Trump's Tariffs and Their Impact on Economic Forecasts
According to Powell, tariffs have significantly influenced economic growth forecasts. 'We went on hold when we saw the size of the tariffs, and economic forecasts went up materially as a consequence of the tariffs,' Powell noted, highlighting the importance of tariffs in shaping economic expectations.
Bitcoin as a Safe Haven Amid Economic Uncertainty
In times of economic tensions, such as the US-China trade war, Bitcoin sometimes rallied as a perceived safe haven. As of July 10, 2025, Bitcoin is valued at $111,360.71 with a market cap of $2.21 trillion.
The discussions about tariffs and possible changes in Fed's interest rate policy underline the importance of monitoring economic indicators and their impact on financial markets.
