Fed Chair Kevin Warsh says inflation is still too high and the 2% target remains firm.
Inflation has improved, but underlying trends remain largely unchanged.
Labor markets remain stable, while financial conditions are not restrictive.
The Fed still wants to see inflation move clearly toward 2% before making major moves.
💵 USD: Stronger as higher rates increase demand for the dollar.
📈 Treasury yields: Higher, especially at the short end.
📉 Stocks: Pressure on growth/tech stocks as borrowing costs stay elevated.
🥇 Gold: Potential downside from higher yields and a stronger dollar.
Crypto: Risk assets like Bitcoin could face selling pressure as liquidity expectations tighten.
#FEDTALKS #BEARISH📉 #Fed
Inflation has improved, but underlying trends remain largely unchanged.
Labor markets remain stable, while financial conditions are not restrictive.
The Fed still wants to see inflation move clearly toward 2% before making major moves.
💵 USD: Stronger as higher rates increase demand for the dollar.
📈 Treasury yields: Higher, especially at the short end.
📉 Stocks: Pressure on growth/tech stocks as borrowing costs stay elevated.
🥇 Gold: Potential downside from higher yields and a stronger dollar.
Crypto: Risk assets like Bitcoin could face selling pressure as liquidity expectations tighten.
#FEDTALKS #BEARISH📉 #Fed
