Key Takeaways Jerome Powell’s Speech Today; What About Crypto – Crypto News – Crypto News
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Key Takeaways Jerome Powell’s Speech Today; What About Crypto – Crypto News

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Jerome Powell speech: US Fed Chairman Jerome Powell on Tuesday spoke in an interview with Carlyle Group co-founder David Rubenstein at the Economic Club of Washington DC, Powell’s comments came just a week after he delivered the post FOMC press conference. After the Fed delivered a 25 bps rate hike last week, the US Bureau of Labor Statistics reported huge job additions to the economy, bringing the unemployment in the country to the lowest in five decades.

The crypto market, which reacted smoothly to Powell’s comments, could eventually find more macro led support as inflation reduces as expected later in 2023. The Fed Chair opted to give out a neutral statement when asked about the robust jobs report, as against a dovish comment as was feared inmarkets. However, it remains to be seen how crypto prices factor into the Fed Chair’s comments in the hours to come. In the last one hour, BTC price rose by around 0.50%.

Also Read: Bitcoin News: Bitcoin Activity Jumps to Three-Year High, Is BTC Price $30K Next?

Here are the key takeaways from his Powell speech today:

  • The Fed Chair said the target of bringing down inflation to 2% would remain, when asked if a 3% target was ideal. This means the policy tightening could continue until the 2% target is met.
  • Powell said the year 2023 could see a significant reduction in inflation, in an encouraging sign for the crypto market,
  • However, the disinflationary process is likely to take longer than expected. Powell said the Fed would certainly raise rates more if data continues to come in stronger than expected.
  • Inflation in the goods sector is coming down but it is still not seen in the housing sector, which puts the question of disinflation hopes into question.
  • When asked if he thinks whether the economy is in control with inflation and the geopolitical scenario with the Ukraine war, he said the Fed predominantly takes into consideration the supply and demand chain with the United States.
  • About the concerns of economy facing the danger of debt defaultPowell said it is the Congress that decides on
    how much the debt ceiling should be marked at.
  • Interestingly, Powell revealed he draws a salary of $190,000 in his capacity of Chair of the Board of Governors of the Federal Reserve System.
  • Powell rides a bike, plays guitar and reads fiction to relieve stress!

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Anvesh reports major developments around crypto adoption and trading opportunities. Having been associated with the industry since 2016, he is now a strong advocate of decentralized technologies. Anvesh is currently based in India. Follow Anvesh on Twitter at @BitcoinReddy and reach out to him at [email protected]

The content presented may include the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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