Crypto:
30604
Bitcoin:
$62.991
% 5.24
BTC Dominance:
%53.6
% 0.35
Market Cap:
$2.21 T
% 1.97
Fear & Greed:
33 / 100
Bitcoin:
$ 62.991
BTC Dominance:
% 53.6
Market Cap:
$2.21 T

Powell Spoke, Stocks Rose, Crypto Remained Stable!

Powell

On the second day of his testimony before Congress, Federal Reserve Chairman Jerome Powell stated that recent data showed “modest progress” on inflation. The stock markets responded positively to this announcement. However, cryptocurrencies remained stable.

Following Powell’s statement on Capitol Hill, stocks rose. The S&P 500 increased by 0.26% in early trading, while the Nasdaq climbed by 0.42%. On the other hand, Bitcoin remained unaffected by the risk-taking behavior in the stock markets, confined to a narrow 24-hour range between $57,500 and $59,000.

Powell said, “More good data will increase our confidence that inflation is moving sustainably towards our 2% target” indicating that the Fed expects positive trends to continue before changing the current rate. According to the Chicago Mercantile Exchange (CME) FedWatch tool, interest rate traders have set the probability of a rate cut in September at 71.8%.

Greater confidence is required before rate cuts.

Powell noted, “Recent monthly data shows modest progress in inflation.” Citing a wide range of surveys from households, businesses, economic forecasters, and financial market measures, he stated that long-term inflation expectations are “well anchored.”

Powell explained, “A restrictive monetary policy helps balance supply and demand and puts downward pressure on inflation.” He emphasized that the committee would not consider lowering the federal funds rate target range without greater confidence that inflation is moving sustainably towards the 2% target.

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