The Federal Reserve is showing signs of pivoting, with news of inflation and updates to their balance sheet. The crypto market is also looking up, particularly for Bitcoin. The Fed’s preferred inflation gauge, PCE, came in slightly under expectations, which could lead to fewer rate hikes. The Fed’s balance sheet has decreased, indicating that they may not be injecting as much liquidity into the system, which could lead to lower interest rates in the future. Overall, while there are still concerns about recession, things are looking positive for the economy and the crypto market.
The FED Pivoting: Inflation News and Changes
The FED seems to be pivoting as we speak, and they are changing their strategies. In this YouTube script, we get insights into the FED’s recent inflation news and how much they’re adding to their balance sheet this week. Additionally, people are going after crypto, but that isn’t new, so let’s talk about it all.
Introduction and Subscription Call to Action
In the beginning, the speaker talks about their vacationing status and requests viewers to subscribe by hitting the subscribe button underneath the video and turning on the Bell notification.
Heading 2: Crypto Market Overview
The speaker talks about the crypto market’s current status, mentioning that Bitcoin is moving up, followed by the PCE print.
Heading 2: Market Dynamics
The speaker explains that the crypto market has been floating back and forth, but a good amount of movement happened when the Personal Consumptions Expenditures (PCE) came out, leading to an increase in Bitcoin’s value.
Heading 2: Market Liquidations
The speaker also addresses the liquidations and says that there haven’t been too many in the past 24-12 hours, even with inflation news.
Heading 2: Inflation News
The speaker delves into the inflation news, divulging that the Personal Consumptions Expenditures (PCE) is the FED preferred inflation gauge. They go on to add that the PCE came out with 0.3% month over month, which is under expectation, leading to optimism.
Heading 2: FED Balance Sheet
The speaker provides information on the FED balance sheet and states that they have decreased the total assets from 8.733 trillion dollars to 8.705 trillion dollars, as they said they would, causing speculation as to whether it’s bullish or bearish.
Heading 2: FED Strategy and Economy
The speaker talks about the FED’s strategy and how it affects the economy. They mention that the FED flipping and decreasing the balance sheet means they might not have to keep rates high, leading to the reduction of the risk-free rate.
Heading 2: Crypto Market and Investor Outlook
The speaker ends by talking about the crypto market and investor outlook, mentioning that the number of individuals holding one Bitcoin has surpassed one million, and that the cryptocurrency industry still has room for growth.
Overall, the FED changing their strategies and decreasing their balance sheet might lead to a healthier economy, with lower inflation and the risk of bank failures. The cryptocurrency market still has room for growth, and more and more people are jumping on the digital currency bandwagon.