Crypto Currency

Fed cuts rates by 25 basis points, pushing Bitcoin to a new all-time high of $76.7K

Key Takeaways The Federal Reserve reduced its benchmark rate by 25 basis points, the second cut this year. Bitcoin rose to $76.7K following the rate cut and Trump’s economic policies. Share this article The Federal Reserve cut its federal funds rate by 25 basis points today, lowering it to a range of 4.5–4.75%. As the

Key Takeaways

  • The Federal Reserve reduced its benchmark rate by 25 basis points, the second cut this year.
  • Bitcoin rose to $76.7K following the rate cut and Trump’s economic policies.

Share this article

The Federal Reserve cut its federal funds rate by 25 basis points today, lowering it to a range of 4.5–4.75%. As the day unfolded, with markets anticipating the interest rate decision, Bitcoin reached a new all-time high of $76,700.

This rate cut comes shortly after Donald Trump’s recent electoral victory, aligning with his past statements favoring lower interest rates as a means to stimulate economic growth. 

Although Trump has no direct influence over Fed decisions, the move aligns with his economic interests and campaign promises, where he frequently advocated for more aggressive rate reductions.

The rate cut follows years without any reductions, with this being only the second in four years. 

Fed Chair Jerome Powell emphasized the Fed’s data-driven approach, noting, “Recent indicators suggest that economic activity has continued to expand at a solid pace, although labor market conditions have eased somewhat and inflation remains elevated.”

The Fed pointed to a resilient labor market, where unemployment currently sits at 4.1%, with projections to remain in the low 4% range. 

The Bureau of Labor Statistics’ latest figures align with the Fed’s confidence in sustained employment levels, which Fed members consider a positive sign for labor stability.

This monetary easing comes at a time when Trump’s views on Fed policy have sparked debate.

He has suggested that the president should have a more direct influence on interest rate decisions, a stance that challenges the tradition of Fed independence. 

Trump has argued that lower rates are vital for growth, a perspective that aligns with the positive reaction in financial markets today.

Share this article

?xml>?xml>?xml>
Read More

Be the first to write a comment.

Leave a Reply

Your email address will not be published. Required fields are marked *

Crypto Currency

Cryptic posts drive stocks, and Bitcoin turns 16: Markets roundup

Crypto-friendly billionaire Elon Musk is known for his cryptic social media posts. This time, his online activity triggered a dramatic pump-and-dump of cryptocurrency.Read more…

Crypto-friendly billionaire Elon Musk is known for his cryptic social media posts. This time, his online activity triggered a dramatic pump-and-dump of cryptocurrency.Read more…
Read More

Continue Reading
Crypto Currency

Do Kwon Pleads Not Guilty to Fraud Following Extradition to US: Reuters

Kwon’s Terraform Labs developed the luna cryptocurrency and stablecoin terraUSD, which folded in 2022, losing an estimated $40 billion…

Kwon’s Terraform Labs developed the luna cryptocurrency and stablecoin terraUSD, which folded in 2022, losing an estimated $40 billion…
Read More

Continue Reading
Crypto Currency

Exclusive: Coinbase Acquires BUX’s Cyprus Unit; Is the Crypto Giant Entering CFDs?

Coinbase, the US-listed cryptocurrency exchange giant, has acquired the Cyprus unit of BUX (formerly Stryk) and renamed the entity Coinbase Financial Services Europe, Finance Magnates has learned.Yorick Naeff, CEO of BUX, also confirmed the deal, saying: “We are pleased with the sale of our MiFID licensed entity…

Coinbase, the US-listed cryptocurrency exchange giant, has acquired the Cyprus unit of BUX (formerly Stryk) and renamed the entity Coinbase Financial Services Europe, Finance Magnates has learned.Yorick Naeff, CEO of BUX, also confirmed the deal, saying: “We are pleased with the sale of our MiFID licensed entity…
Read More

Continue Reading
Crypto Currency

KuCoin Launches KuCoin Pay

Reading Time: 2 minutesCrypto exchange KuCoin has launched KuCoin Pay, a payment system designed for merchants and individuals to facilitate cryptocurrency transactions The platform prioritizes real-time transactions, enhanced security, and user-friendly interfaces to advance the adoption of crypto in everyday commerce KuCoin Pay accommodates a variety of cryptocurrencies…

Reading Time: 2 minutesCrypto exchange KuCoin has launched KuCoin Pay, a payment system designed for merchants and individuals to facilitate cryptocurrency transactions The platform prioritizes real-time transactions, enhanced security, and user-friendly interfaces to advance the adoption of crypto in everyday commerce KuCoin Pay accommodates a variety of cryptocurrencies…
Read More

Continue Reading