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

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 Cache Room

Resource Cache

Tier I

Requires 25% Tier Progress to Claim

Meme Cache

Tier I

Requires 50% Tier Progress to Claim

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

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

Tier I

Sector: #18291

25%

50%

75%

100%

Tier II

Survivors rescued:

0 / 600

Survivors

0/0

Transmit Signal

Broadcast this sector's coordinates to other rescuers.

Other news

Flowra's Auction Framework Aims to Professionalize MEV Infrastructure

Flowra's launch of the Open Orderflow Auction framework on August 21 aims to professionalize MEV and blockbuilding infrastructure on Solana, promoting a transparent and competitive transaction-ordering market.

Tenzin Dorje10 minutes ago

Honeypot Integration Gives Solana Validators More Control

Honeypot integration allows Solana validators to customize block policies, enhancing control over transaction handling.

Bayarjavkhlan Ganbaatar10 minutes ago

Flowra Introduces Open Orderflow Auction for Solana Validators

Flowra has launched its Open Orderflow Auction framework for Solana validators, introducing a third-party blockbuilding and MEV auction system designed around short, competitive ordering windows.

Mohamed Faroukan hour ago

AI Agents Execute 33 Million USDC Payments on Solana's x402 Protocol

AI agents have executed 33 million USDC in payments over the x402 protocol on Solana in just one week, showcasing a new use case for machine-to-machine payments with stablecoins.

Elias Mukuru2 hours ago

Solana Validators Vote on Governance Proposal SGP0003

Validators on the Solana network are voting on governance proposal SGP0003, which aims to restructure the fee model and potentially increase daily SOL burns.