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

Other news

NEAR Protocol Achieves 50 Million Operations Milestone

chest

NEAR Protocol's chain abstraction infrastructure has surpassed 50 million lifetime operations, marking a significant achievement in simplifying multichain crypto interactions.

user avatarArif Mukhtar

Solana Sees Significant RWA Inflows

chest

Solana has recorded $348 million in net inflows of real-world assets over the past 30 days, increasing its tokenized RWA value to $720 million.

user avatarMaria Gutierrez

Aave Governance Considers Emergency Powers to Protect Users

chest

Aave governance is considering a proposal to grant emergency powers to guardians to freeze vulnerable lending pools during security threats.

user avatarDavid Robinson

Router Protocol Users Must Move Assets During Grace Period

chest

Router Protocol users must take action during the grace period to bridge assets back to origin chains before relayer nodes are disconnected.

user avatarJacob Williams

Arbitrum Proposes Disqualification of Three DeFi Protocols from Future Grants

chest

A new governance proposal by Arbitrum aims to disqualify three DeFi protocols from future DAO grant allocations due to alleged reporting failures and misuse of prior incentives.

user avatarAndrew Smith

Router Protocol to Shut Down Crosschain Network and Burn 303 Million Tokens

chest

Router Protocol has announced a deprecation plan to shut down its crosschain messaging network and burn 303 million ROUTE tokens due to unsustainable maintenance costs.

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.