Fed Holds Policy Steady, Expresses More Caution Than Expected on September Rate Cut

In
the
minutes
following
the
more
hawkish
than
expected
statement,
bond
yields
and
the
dollar
rose
a
bit,
but
both
remained
lower
for
the
day.
The
price
of
bitcoin

(BTC)
edged
lower
to
$66,550,
but
remained
modestly
higher
over
the
past
24
hours.
U.S.
stocks
remained
sharply
higher
for
the
session,
the
Nasdaq
up
2.4%
and
S&P
500
1.6%.

Dealing
with
galloping
inflation
at
the
time,
the
Fed’s
historic
run
of
tighter
policy
began
in
early
2022
taking
the
fed
funds
rate
from
0%
to
5.25%-5.50%
in
the
space
of
less
than
18
months.
The
rate
has
remained
at
that
level
for
more
than
a
year
as
the
central
bank
has
been
cautious
to
ease
while
inflation
stubbornly
remained
well
above
its
2%
target.