Fed Chief: Balancing Act Continues to Avoid Recession While Taming Inflation, Impacting Crypto Markets
• Jerome Powell, Federal Reserve Chairman, stated the Fed has not yet achieved a "soft landing" for the economy amid recovery efforts.
• Powell said the Fed is in "risk management mode" to avoid responding too quickly or slowly with policy changes.
• His remarks indicate the Fed is still working to control inflation without triggering a recession.
• Cryptocurrency markets are sensitive to Fed policy changes that influence inflation and the cost of capital.
• If the Fed manages competing economic goals well, it may positively impact crypto markets. If policies seem too restrictive, it could increase volatility.