Federal Reserve’s John Williams says ample reserves are a vibe, not a number

The post Fed’s Williams: Inflation is still ‘far too high’ appeared on BitcoinEthereumNews.com. Federal Reserve (Fed) Bank of New York President John Williams said in the Future of Market Liquidity and Functioning Workshop in New York on Thursday that inflation remains “far too high,” while stressing that policymakers are actively debating different inflation scenarios as energy prices, artificial intelligence investment and productivity trends shape the outlook. Key takeaways: Inflation is still “far too high,” keeping the Federal Reserve focused on the risks to price stability. Markets still expect Oil prices to decline over the next six to 12 months. Monetary policy remains focused on how energy prices feed through into inflation. AI investment is currently driving inflation, adding to demand and cost pressure. The Fed is actively debating various inflation scenarios as uncertainty remains elevated. Williams said the latest Fed Minutes captured a “collective reaction function,” refl

The post Could the Fed Buy Stocks? Analysts Say Bitcoin Wins If It Does appeared on BitcoinEthereumNews.com. Eric Balchunas says the Fed may buy equity ETFs to backstop market downturns. 55% of Americans now own stocks, with Trump Accounts set to add 28 million more. Sun said improving liquidity and lower risk premiums could boost Bitcoin and major cryptocurrencies.  The Federal Reserve may purchase equity ETFs to support the US stock market during the next major downturn, an analyst said, a scenario that crypto researchers say would indirectly benefit Bitcoin and major digital assets. The Case for Fed Equity Purchases Eric Balchunas, Senior ETF Analyst, published a note arguing that the US stock market has effectively become too large and too politically important to allow a prolonged collapse. Approximately 55% of Americans currently own stocks, the highest rate in the world. Trump Accounts are set to bring an estimated 28 million additional people into equity ownership. Social secur

The post Fed: Hawkish minutes keep upside rate risks – ING appeared on BitcoinEthereumNews.com. ING strategists Michiel Tukker and Benjamin Schroeder note that the Federal Reserve’s June minutes confirmed a more hawkish stance despite an unchanged policy rate. They highlight that nine officials pencilled in higher rates by year-end and that most see further policy firming as likely if inflation stays elevated due to AI-driven demand, high energy prices and tariffs, though ING’s base case expects moderation. June minutes reinforce hawkish Fed stance “This more upbeat take on the economy and the labour market was also reflected in the more hawkish stance of the Fed, which was just confirmed by the minutes of the June meeting.” “While voting unanimously to keep rates on hold, that meeting saw nine Fed officials pencilling in higher rates by the end of this year.” “Most officials agreed that “some policy firming would likely be warranted” in a scenario in which inflation remained elevated

Uncertainty in the neutral rate could lead to volatile economic conditions, impacting investment strategies and financial market stability. The post Federal Reserve’s Williams sees uncertainty over long-term neutral rate, and crypto markets should pay attention appeared first on Crypto Briefing.

The post Pound Sterling Price News and Forecast: GBP hits fresh three-week highs past 1.3400 appeared on BitcoinEthereumNews.com. British Pound hits fresh three-week highs past 1.3400 as US Dollar pulls back  The British Pound (GBP) appreciates against the US Dollar (USD) for the second consecutive day on Thursday, to hit fresh three–week highs right above 1.3400. The Greenback’s pullback following the release of the Federal Reserve’s (Fed) minutes and rumours about the resumption of the US-Iran negotiations are keeping the pair buoyed. The US and Iran traded attacks for the second consecutive day on Thursday, but risk aversion remains contained so far, with markets hopeful that the negotiations will continue. US President Donald Trump affirmed earlier on Thursday that Tehran “wants to make a deal so badly,” which suggests that the peace talks might resume soon. Read more… GBP/USD Price Forecast: Holds a constructive bullish tone above 1.3400 as UK political risk eases The GBP/USD pair

Prolonged inflation control efforts may sustain pressure on risk assets, affecting investment strategies and economic growth projections. The post Federal Reserve’s Williams emphasizes restoring inflation to 2% target, signaling prolonged pressure on risk assets appeared first on Crypto Briefing.

The post The Fed’s New Money-Laundering Rule Has A Loophole Built In appeared on BitcoinEthereumNews.com. The Federal Reserve published a sweeping proposal to rewrite how it polices anti-money laundering and counter-terrorist-financing (AML/CFT) programs at the banks it supervises. Getty Images Somewhere between $800 billion and $2 trillion in dirty money moves through the global financial system every year, according to the UN Office on Drugs and Crime — and authorities manage to freeze less than 1% of it. Banks are the pipeline. The 2020 “FinCEN Files” leak, which exposed $2 trillion in transactions flagged internally as suspicious yet processed anyway, made that uncomfortably clear. So when the Federal Reserve published a sweeping proposal on July 7 to rewrite how it polices anti-money laundering and counter-terrorist-financing (AML/CFT) programs at the banks it supervises, the stakes were never in question. What’s in question is whether the rule actually raises the bar — or quietly

The Fed's stance on separating balance sheet management from regulatory policy could influence future regulatory reforms and market perceptions. The post Federal Reserve’s Williams says balance sheet management should stay separate from regulatory policy appeared first on Crypto Briefing.