Interest rate increase or decrease? The Federal Reserve Faces a Crucial Decision That Could Shake the Markets - What to Expect Tomorrow!
Rate Raise or Cut: What the Federal Reserve Might Decide Tomorrow Tomorrow the Federal Reserve (Fed) will make a crucial decision on interest rate policy. Such decisions have significant implications for both traditional financial markets and the cryptocurrency sector, increasing anticipation for the session. Is a rate cut likely? Since the pandemic, the Federal Reserve has intentionally kept interest rates high to control inflation. However, higher interest rates can slow economic growth by increasing the cost of borrowing and investing. Risky assets such as cryptocurrencies and technology stocks are particularly affected. However, a twist emerged earlier this month: inflation...

Interest rate increase or decrease? The Federal Reserve Faces a Crucial Decision That Could Shake the Markets - What to Expect Tomorrow!
Rate Raise or Cut: What the Federal Reserve Might Decide Tomorrow
Tomorrow the Federal Reserve (Fed) will make a crucial decision on interest rate policy. Such decisions have significant implications for both traditional financial markets and the cryptocurrency sector, increasing anticipation for the session.
Is a rate cut likely?
Since the pandemic, the Federal Reserve has intentionally kept interest rates high to control inflation. However, higher interest rates can slow economic growth by increasing the cost of borrowing and investing. Risky assets such as cryptocurrencies and technology stocks are particularly affected.
However, a twist emerged earlier this month: US inflation fell more than expected. February saw an increase of 2.8%, below the forecast 2.9% and January's 3%. This has reignited discussion about possible interest rate cuts. Analysts initially assumed that this would be months away, but the possibility of a rate cut soon is now in the offing. However, it remains to be seen whether the Fed will make a decision in this direction tomorrow.
Trump is playing a game with the Fed
Analyst Anthony Pompliano expresses the opinion that Donald Trump is pursuing a strategic game with the US central bank. Trump may have an interest in cutting interest rates to minimize the enormous interest costs associated with the rising US national debt. However, despite his role as president, he has no direct influence on the decisions of the Federal Reserve, which operates independently.
Pompliano suspects that Trump is putting pressure on the Fed by creating market instability. If it causes markets to fall, the central bank may be forced to cut interest rates. This could not only make it easier to refinance government debt, but also promote economic growth.
Conclusion
The Federal Reserve's upcoming decision has the potential to greatly impact both the financial and crypto markets. The lower inflation reading could open the door for interest rate cuts, while external factors such as political strategies also play a role. The coming days could be crucial for the direction of the US economy and its markets.