Breaking News: FED Announces Its Highly Anticipated Interest Rate Decision! Here’s Bitcoin’s First Reaction

The Fed left interest rates unchanged, as expected.

Here is the aftermath of the interest rate decision Bitcoin’s his first reaction:

There are analysts who believe that Jerome Powell could signal a rate cut in September at his press conference in half an hour.

The anticipated move could lead to lower borrowing costs for U.S. consumers and businesses and mark a key moment in the Fed’s two-year battle against inflation.

Recent data show inflation steadily approaching the Fed’s 2% target and a notable cooling in the labor market, with the unemployment rate rising nearly half a percentage point this year to 4.1%. Fed officials have emphasized the delicate balance of keeping interest rates high enough to control inflation without causing a prolonged economic slowdown.

Economists predict that rate cuts, potentially starting as early as September, could help the Fed achieve a “soft landing” in which high inflation is brought under control without triggering a recession. That scenario could also affect the upcoming presidential race, with Republicans linking Vice President Kamala Harris to rising inflation over the past three years. Former President Donald Trump opposed rate cuts before the election.

*This is not investment advice.