Fed Interest Rate Decision: Markets Hold Breath for September 16th Announcement
The long-awaited Federal Reserve meeting has finally arrived, and markets are on high alert for the interest rate decision. The Fed's September announcement is expected to impact various assets, including Bitcoin (BTC) and gold.
On Wednesday, September 16th at 9:00 PM Turkish time (21:00), the Fed will announce its decision, with Chairman Kevin Warsh set to make a statement at 9:30 PM. Market expectations indicate a 93% probability of an interest rate hike since July 2023.
Analysts point out that if the Fed decides to leave interest rates unchanged, it would be the biggest dovish surprise at a scheduled policy meeting since 1994. However, some experts note that FED Chairman Kevin Warsh was appointed with the expectation of cutting interest rates, and numerous major US institutions, including Goldman Sachs, JPMorgan, and Morgan Stanley, expect a 25 basis points rate hike.
Investors are reducing their risk appetite in the cryptocurrency market ahead of the decision, turning to stablecoins. According to Talos data, there was a net buying trend of 28% in stablecoins before the Fed meeting, while the net buying trend for Bitcoin decreased from 10% to 3%, and for Ethereum from 23% to 9%.