Can Trump shoot Powell? The president of the Federal Reserve, Jerome Powell, the testimony sent questions in Congress, above all, from inflation to rates cuts for the second day.
For two days of testimony, the president of the Federal Reserve, Jerome Powell, sent questions from the Congress, above all, from inflation and monetary policy to cryptographic banking and the autonomy of the Fed. His careful but revealed responses described the current priorities of the Central Bank and the future direction.
But first, let’s take a quick look at the market: here is the state of cryptography in 2025 so far:
- J Powell speaks -> low prices.
- Trump Memecoin -> Low prices.
- Trump inauguration -> Low prices.
- Profunde Seek AI -> Low prices.
- Commercial tariffs -> Low prices.
- Crypto and Digital Assets press conference -> Low prices.
- Blackrock announces EU BTC ETF -> prices.
All these events make it turn to Bitcoin. How does it make you feel that? Me? It is not good.
Jerome Powell: “We are not there in inflation”
Inflation took the center of the stage during Powell’s testimony, stimulated by a recent IPC report that shows inflation that reaches 3%. While recognizing progress, Powell emphasized the determination of the Fed to push it lower, stating: “We are close but not in inflation.”
In statements to the Senate Banking Committee, Powell confirmed the intention of the FOMC to maintain restrictive rates for now, pointing out: “We want to advance more in inflation.” Comments similar to the house underlined the cautious posture of the Fed, without hurry to relieve interest rates in a stable
“We are in a quite good place with this economy,” Powell said. “Since inflation takes the time to align with our 2%target, our restrictive position is still appropriate.”
The United States government has stolen 26.1% of its purchasing power since 2020 through inflation.
If you are not earning more than 26.1% more money than 2020, it is poorer.
If your net assets have not increased by 26.1% since 2020, you are poorer. pic.twitter.com/8Suyquz7pd
– Darth Powell (@vladtheinflator) February 12, 2025
The audiences resorted to cryptographic banking, with Jerome Powell approaching safeguards against a collapse that involves the main cryptographic emitters. He emphasized the importance of banks to understand the risks linked to cryptocurrencies.
“It is appropriate to ensure that banks that participate in cryptographic activity understand the risks involved,” he said while warning regulators to avoid excessive correction. “You don’t want to go too far. These activities already operate within a framework where banks understand, and we understand, what they are doing. “
Independence of the Federal Reserve: Can Trump shoot Powell?
The audiences also resorted to the independence of the Federal Reserve, with Powell drawing a clear line on the presidential influence. Responding to the fights with former President Trump, who repeatedly criticized Fed’s policy, Powell stressed that the law protects the Central Interference Bank
During the audience, Senator Jack Reed (Dr.i) asked Powell if the president could expel the members of the Fed Board, referring to the recent events of the Kennedy Center. Powell closed it. “It is clearly not allowed by law,” he said, emphasizing that Fed will not be inclined to political interference.
Quantitative flexibility found its way in the discussion, with Powell clarifying that it is a tool reserved for terrible situations. “Quantitative flexibility is a tool that we only use when rates are already zero,” he said, addressing concerns about stimulating inflation or devaluing the dollar.
Powell had a careful line on tariffs, particularly those directed to China. He recognized commercial complexities, noting that the principles of free trade are still applied, although not so perfectly when an important global partner “does not really play according to the rules.” However, he said: “It is not the work of the Fed to do or comment on the rates policy.”
Contrades on the 2 of Jerome Powell’s testimony
This week’s testimony revealed Powell’s priorities: inflation inflation, anchoring monetary policy and maintaining the line on the independence of the Fed. He also addressed Crypto’s uncomfortable fusion with conventional finances while threading the needle between Transparency and economic stability.
EXPLORE: 15 new and next coinbase listings to see in 2025
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Key control
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Whether they discuss tariffs, digital assets or policy tools such as QE, Powell’s responses reflected the caution approach of the Federal Reserve.
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These prominent testimony of Jerome Powell offer valuable information about the future direction of the Fed.
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We are likely to see some complex decisions of the Fed as the growing demand for balance between innovation, regulation and economic stability continues.
The Jerome Powell publication has just been shattered: can Trump shoot Powell without rate cuts? It appeared first in 99bitcoins.
