2026-01-15 21:23:36

There has been an important signal in the Federal Reserve circle recently. Philadelphia Fed President Anna Paulson views it this way: although the labor market has been hit hard, it is far from collapsing. Instead, she is more concerned that — inflation remains the main issue at the moment, more worth paying attention to than employment.

How to understand this? Her expectation is that the inflation rate could return to the 2% target (calculated on a monthly annualized basis) by the end of this year. Since inflation is expected to be gradually controlled, the rate cut will have to wait — at least for now, the current view is that there is no need to rush.

This actually sends a pretty clear signal to the crypto circle: in the short term, the probability that the Federal Reserve will maintain a hawkish stance is relatively high, and interest rate policies will not be easily loosened. This means that the cost of funds will still remain at a relatively high level, which may also exert some pressure on market risk appetite.

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SandwichDetector

· 15h ago

Here comes that inflation rhetoric again. I just want to ask, why hasn't there been any movement on interest rate cuts? --- Hawkish talk, and the crypto circle continues to be hammered. --- Wait, can inflation really be lowered to 2% so smoothly? I find it hard to believe. --- High funding costs are locked in at high levels. Who dares to buy the dip this time... --- Back to 2% before the end of the year? Wake up, everyone. Reality isn't that rosy. --- Hawkish, hawkish, every day is hawkish. When will there be any easing? That's what we should be waiting for. --- A bad hand, and the Federal Reserve insists on acting as if nothing's wrong. It's outrageous.

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AirdropHunter9000

· 15h ago

Is it hawkish again, and do we have to wait? Can the Federal Reserve really control inflation this time? I’m skeptical. Cutting rates is nowhere in sight. How long will the coin prices be suppressed? Inflation at 2%? Easier said than done. Is it really achievable by the end of the year? Big question mark. High funding costs, no short-term opportunities, better to stay dormant. Paulson is back to make promises, it seems the Fed just loves to keep us hanging. Another year of high interest rates, a bear market in the crypto world seems far off. Wait and see, when will we finally see the dawn of rate cuts?

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BrokenDAO

· 16h ago

Another round of promises of "inflation under control." History has an interesting game-theoretic equilibrium — central banks always say they can handle it this year, and the market always believes half of it. Paulson's logic is no different from previous incentive distortions; the longer high interest rates are maintained, the more the risk of a crash accumulates. The crypto world is just waiting to see how many months the hawkish stance can last.

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ForumLurker

· 16h ago

Uh, it's the old trick of suppressing with high interest rates again, I'm tired of hearing it How long will the hawkish stance last... The Federal Reserve is really not in a hurry to cut rates, our wallets will continue to shrink What is Paulson thinking, just controlling inflation hard A rate cut is a distant dream, the coins really can't move Inflation won't return to 2% until the end of the year? How did we endure before... Funding costs are extremely high, no wonder this wave of market is so cold If this continues, the crypto circle will be collectively trapped How long will the era of high interest rates last before it turns around It sounds nice, but actually they just don't want to loosen up

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