Kevin Warsh at Jackson Hole: Why His First Fed Speech Matters So Much for Bitcoin
Sometimes, just two words are enough to shake an entire market. On Friday, August 28, at 10 a.m. (Washington time, 4 p.m. in Paris), Kevin Warsh will take the stage at the Jackson Hole symposium for the first time as the chairman of the Federal Reserve. The stakes go beyond a mere stylistic exercise. Indeed, markets have been trying for months to gauge what Warsh might signal to the Fed, and this baptism of fire in front of 120 central bankers from over 70 countries will be his first real test in a high-stakes environment. Key points of this article: * Kevin Warsh is making his much-anticipated debut at the Jackson Hole symposium as Fed chairman, a crucial event for financial markets. * The tense economic context, with persistent inflation and high Treasury yields, has heightened the importance of his inaugural speech. Kevin Warsh will speak on a pre-selected theme, financial innovation and its implications for payments and monetary policy. The context of inflation exceeding the 2% target for five consecutive years cannot be ignored in this choice. Furthermore, 30-year Treasury yields are hovering around 5.2%, a significant level for financing U.S. public debt, as we explain in detail in this article. The last monetary policy meeting revealed a vote of 9 to 3, the sharpest division within the committee in nearly twenty years, according to Bloomberg. It is safe to say that Warsh did not inherit a ready-made consensus to defend. The history of Jackson Hole is not short of dizzying examples, adding weight to Friday's meeting. For instance, in 2010, Ben Bernanke laid the groundwork for a second bond-buying program, the famous QE2 (quantitative easing, liquidity injection by the central bank), which was officially announced three months later. The result: the S&P 500 surged nearly 28% in the following eight months. Twelve years later, in 2022, Jerome Powell took a completely opposite approach with a speech lasting barely eight minutes, promising a share of pain for American households. The Dow Jones lost more than 1,000 points that day, according to CNN, and the S&P 500 dropped 13% the following month. Two different rooms, two different atmospheres. It is no surprise, in this climate, that crypto traders are watching every comma. The price of Bitcoin tends to react strongly to such meetings, whether through anticipation or delayed reaction. And there is reason to do so again this year. Warsh has gathered fifteen external experts to thoroughly review the Fed's monetary policy framework, signaling that his mandate will not be limited to managing rates on a day-to-day basis. The question posed to the markets is therefore not just what rate in September, but what philosophy he intends to impose over time in the face of persistent inflation. Warsh also has a personal connection to crypto: his financial disclosures indicate investments in companies like Polymarket and SpaceX. The meeting on August 28 is just a step. The real test comes nineteen days later, on September 16, when the committee will have to turn these words into a rate decision. By then, every central bank in the world will have had time to dissect every nuance of the Wyoming speech.
-- Price
This content is provided for general informational purposes only and doesn't constitute financial, investment, legal, or tax advice. Any events, rewards, online promotions, or related information mentioned herein should not be considered a recommendation, solicitation, or invitation to purchase, sell, trade, or otherwise deal in any crypto assets. Crypto assets are highly volatile and may result in loss. The availability of WEEX services, products, and related events may vary by region. You are responsible for ensuring that your participation is in accordance with applicable local laws and regulations.
You may also like

Bloomberg Survey Shows Most Economists Expect No Rate Hike from Fed This Year

Brent Oil Hits $109: Rally to $120 or Sharp Pullback?

What You Thought Was a Safe Compliance Check Actually Handed Your Assets to Hackers

Oil Crisis: 5 Reasons Why the Surge Won't Stop

ESMA Warns of Growing Links Between Crypto and Finance

How to Calculate Bitcoin Profit for Beginners Easily - Fintech World
![[Full Text] Solana Foundation: "Korean STOs Should Start Within Regulations and Expand Globally"](/public-static/10_5acc261b9b.png?format=avif)
[Full Text] Solana Foundation: "Korean STOs Should Start Within Regulations and Expand Globally"

Can Bitcoin Be Bought with Rp50,000? Here's How - Fintech World

Anthropic: The Report That Implicates Claude, Between Missiles, Espionage in Mali, and Chinese Pillaging

JPMorgan Bullish on Meta: Muse, Model API, and Subscriptions Support $820 Target Price

Russia to require tax IDs for opening crypto depository accounts

Mr&强 Summarizes the Latest Progress of the TermiX Project

How to Raise iPhone Prices Without Hurting Sales? JPMorgan Analyzes Apple's 'Installment Strategy'

Robinhood is Trading Fruit Flies, Solana is Trading Cats

Wells Fargo CEO Claims the Clarity Act May Harm the Financial System?

What is Fibonacci retracement? Trading Minute

Ukraine has lost half of its warehouses: co-owner of the chain talks about the retail situation and risks of shortages

Bitcoin Adoption Boosts Sales by 19%! Iconic U.S. Restaurant "Steak 'n Shake" Achieves Double-Digit Growth

RWA Perpetual Futures Trading Volume Reaches $120 Billion, Increasing 120 Times in One Year

What AI Trading Needs is a Managed Workflow, Not Just Answers

Teacher's Day: How Much Teachers Earn in Argentina and Which Province Pays the Best

BIT Trust White Paper 2.0 Released... Presenting a Secure, Compliant, and Verifiable Trust System

Kaia Secures Wallet and Payment Network in Japan for Stablecoin Usage

OpenAI Launches Financial Services-Specific ChatGPT, Replacing 100-Hour Wall Street Banker Tasks

Variational Swap Records $2.8 Billion in Trading Volume Within a Week of Launch

Oracle Surpasses Revenue with AI: What Explains the Turnaround

David Schwartz Predicts XRP Could Overtake Bitcoin by Market Cap

US Clarity Bill: Senator Cynthia Lummis Publishes Revised Version Before Vote

Solana Launches Prediction Market Amid Technical Hurdles







