
看不懂的sol|Mar 14, 2025 14:49
How does one understand the operation of monetary policy?
Many brothers are asking what are the main indicators and conditions for the US interest rate cut? What is the logic behind it?
The Federal Reserve's monetary policy mainly revolves around:
Control inflation and maintain maximum employment.
Satisfy the condition of 4+2
⏏️ Unemployment rate: An increase in unemployment rate usually indicates an economic slowdown and requires interest rate cuts to stimulate economic growth. If the unemployment rate significantly increases, such as exceeding 4.5% or 5%, the Federal Reserve may consider cutting interest rates.
⏏️ CPI: CPI is close to or below the target level (2%) and continues to decline, indicating an increase in deflationary pressure and the need to stimulate consumption and investment through interest rate cuts. If CPI remains below 2%, the Federal Reserve may consider cutting interest rates.
You can check the US economic indicators:
http://(x.com)/DtDt666/status…
This article is sponsored by Gateio | @ Gateio_zh
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