Federal Reserve of the USA Leans Towards Neutral Policy Before Donald Trump's Term

user avatar

by Giorgi Kostiuk

2 years ago

Federal Reserve officials in the United States advocate for maintaining a neutral policy amidst anticipation of Donald Trump's administration.

Statements from Fed Officials

Fed Governor Michelle W. Bowman highlighted the importance of a cautious approach to rate changes ahead of the new administration's policies. Kansas City Federal Reserve President Jeff Schmid also noted that the current economic situation in the US does not necessitate either additional support or restrictions. The best course of action at the moment is a neutral policy.

I believe we are near the point where the economy needs neither restriction nor support, and that policy should be neutral.Jeff Schmid

Fed's Policy Priorities

Bowman expressed that being too aggressive in lowering rates may stoke excessive demand and potentially revive inflationary pressures. As they await clearer signals, the Fed aims for measured and deliberate actions.

Forecasted Rate Cuts

Bowman supported the December Fed policy of a 0.25% rate cut, part of the policy recalibration phase. However, further rate cuts in 2025 might be limited to two steps, raising some concerns in the market.

The Federal Reserve exercises caution in rate changes given the uncertainty before Trump's presidency. The Fed is expected to maintain a neutral policy until clearer economic signals arise.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

SEC Proposes New Custody Framework for Crypto Assets

The SEC has proposed a new custody framework for investment advisers and registered funds dealing with crypto assets, allowing for potential self-custody and the use of state trust companies as custodians.

user avatarArif Mukhtar

FINMA Approves First Swiss Retail Bitcoin ETF

Switzerland's financial regulator, FINMA, has approved its first retail ETF that invests directly in Bitcoin, allowing retail investors to gain regulated exposure to Bitcoin.

user avatarMaria Gutierrez

EIP7906 Proposal Considered for Enhancing Ethereum Transaction Safety

The Ethereum Foundation is considering EIP7906, which proposes a readonly post-transaction frame to evaluate changes and events before accepting transaction outcomes.

user avatarDavid Robinson

Ethereum Foundation Investigates Enhancements to Transaction Safety

Researchers at the Ethereum Foundation are examining native transaction assertions to enhance transaction safety and reliability in digital asset markets.

user avatarAndrew Smith

Ethereum Developers Delay Glamsterdam Upgrade on Hoodi Testnet

Ethereum developers have postponed the Glamsterdam upgrade initially scheduled for the Hoodi testnet on October 26, with no new activation date provided.

user avatarJacob Williams

Samsung and Solana to Enable Cross-Border USDC Transfers in Samsung Wallet

Samsung and Solana announced plans to integrate cross-border USDC transfers into Samsung Wallet, targeting 82 million US Galaxy devices.

user avatarZainab Kamara

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.