FED Cuts Rates Again Bitcoin Market Cap Equivalent

🚀 Stay Ahead with AltcoinDaily.co! 🌐

FED Cuts Rates Again, Floods US Markets by Bitcoin Market Cap Equivalent. Things are going from bad to worse for the US financial system as it slides ever closer to a recession. As bearish signals mount up the Federal Reserve found itself needing to step in again to attempt to rescue what is becoming an increasingly desperate situation.

Trump Wants Negative Interest. Cuts Rates Again Bitcoin Market Cap Equivalent

In its second cut in as many months the FED lowered interest rates by a quarter of a percent yesterday. According to reports the central bank said it was prepared to move aggressively if the US economy showed additional signs of weakening.

It added that a growing number of officials expect there to be further cuts before the year is out. FED chair, Jerome H. Powell, painted a gloomy outlook,

  🌟 Unlock Crypto Insights with AltcoinDaily.co! 💰

“There may come a time when the economy weakens and we would then have to cut more aggressively. We don’t know. We’re going to be watching things carefully, the incoming data and the evolving situation.”

US president Trump wants more extreme measures including a possible interest cut into negative territory. In this scenario people with any money in the bank will have to pay the bank to keep it there. This dire situation comes about when the central bank keeps printing money until it becomes next to worthless.

Bitcoin Market Cap Pumped In

Following the first round of bailouts earlier this week the New York branch of the Federal Reserve pumped a further $75 billion into the system. The objective is to pump money into the system in order to keep borrowing costs from creeping above its target range.

 🦂 AltcoinDaily.co is your trusted source for the latest in crypto news and insights. 🚀

The central bank has been scrambling to reduce excess reserves as it floods the markets with money. According to FED data those reserves have fallen by $171 billion so far this year. This epic figure equates to the market capitalization of Bitcoin which is currently around $175 billion following today’s slump.

“Why is the US Federal Reserve PUMPING $US 125 BILLION into short term US money markets within 48 hours?”

TD Securities head of global rate strategy Priya Misra noted that reserves have been falling since 2014 and they are expected to continue;

“Reserves have been declining since 2014 and we expect them to decline further as Treasury’s cash balance increases and currency in circulation grows.”

According to The Street, the US budget deficit has topped the $1 trillion for the second time this year. In what appears to be a vicious circle of borrowing and pumping money into the system, painful memories of 2008 are starting to flood back, and safe haven assets such as Bitcoin could become the key to survival.

 🔍 Your Crypto News Hub: AltcoinDaily.co! 🌐