The Federal Reserve cut interest rates to the quarter in a 4% quarter, placing 4% from 4.25% after five consecutive meetings without changing financial policies.
The adjustment was announced after the expected Fed meeting. Marks the first reduction since December 2024 when rates reduced percentage points in three meetings.
For that part, the price of Bitcoin (BTC) He responded to volatility at 114,900 USD from the USD 116,000 area after the announcement, but then stabilized at 115,000..
Minutes after the announcement, Fed President Jerome Powell issued a speech saying, “Advance rate reductions are a step towards more neutral monetary policy,” as reported by Cryptonotcias.
Three weeks ago, at the Jackson Hole Convention, Powell did not directly mention interest rate cuts, but his statement on the possibility of monetary policy flexibility was interpreted as a clear signal. Today’s decision confirms these expectations.
In its statement, the Fed said it will closely monitor the impact on the next economic data and economic perspective, as it is ready to adjust its monetary policy if there is a risk that threatens its objectives.
Additionally, the agency foresaw two more interest rate cuts this year, indicating that meetings are scheduled for October and December.
This decision comes in the context of intense pressure from the US president’s administration, Donald Trump. Donald Trump has openly criticized Jerome Powell for not lowering the rate more quickly and for promoting efforts to replace designated Fed members during former President Joe Biden’s administration.
