Federal Reserve Rate Hike Looms as Senate Votes on Crypto Framework

The US economy is bracing for a potential rate hike in 2026, as Federal Reserve Chair Kevin Warsh faces an 85% chance of increasing interest rates on Wednesday. This move comes despite President Trump's demand for rate cuts.

The Senate will vote on Tuesday on the CLARITY Act, which aims to establish a federal framework for digital assets like Bitcoin and Ethereum.

Ahead of these developments, major AI leaders have called for a slowdown in development, while the Bank of Japan (BoJ) is set to make a decision that could spark broad market volatility.