The FOMC minutes got here out yesterday.
These are the detailed notes from the Fed’s newest coverage assembly – on this case, from Could 6 – 7, after they determined to go away rates of interest unchanged at 4.25% – 4.50%.
Merchants dig into these notes to search for hints about what the Fed’s planning subsequent – particularly, whether or not a price reduce is on the horizon.
(As a result of decrease charges = bullish for crypto.)
So…are we getting one?
Hate to interrupt it to ya, nevertheless it would not appear like it.
In keeping with the minutes, Fed officers are apprehensive about two issues getting worse on the similar time: inflation and unemployment.
That places them in a troublesome spot:
In the event that they reduce charges to assist the job market, inflation might rise;
In the event that they increase charges to combat inflation, unemployment might rise.
A no-win state of affairs. So, they agreed that the most secure factor to do now could be to be cautious.
Translation: the Fed will in all probability maintain charges the identical after they meet once more on June 17 – 18.
And yeah, the markets aren’t thrilled about that.
On a extra constructive word, although, Nvidia’s Q1 earnings additionally got here out yesterday – they usually crushed it. Income and income have been each higher than anticipated.
Whereas that’s indirectly tied to crypto, it nonetheless issues. Large wins within the tech sector have a tendency to enhance total investor confidence. And when the temper’s good, main cryptos usually experience that wave too.
Plus, it’s one other W for AI, which feeds into the crypto + AI narrative.
