goldman states that the fed's interest rate increase in september is low

According to Goldman Sachs, the possibility of the Fed raising interest rates in September has significantly decreased. As a result of this judgement, market concerns about the liquidity outlook have eased, with bitcoin 17 remaining in the vicinity of $6.35 million on 17 December and continuing to be within the shock zone for more than a month.

Goldman Sachs' interest rate increase.

According to Bloomberg, citing a statement sent to clients by the Chief Economist of Goldman Sachs, Goldman Sachs built this judgement on a series of recent weak economic data, including, inter alia, retail sales, employment and the continued slowdown in inflation.

Hatzius stated that, according to Goldman Sachs ' benchmark projections, inflation is more likely to deteriorate further than again as it continues this year. At the same time, he argued that the current market price of federal fund interest rates remained hawks.

Bitcoin's stillfloating.

The CoinDesk data show that bitcoin's latest report ranged from $63,500 to $63,600, an increase of about 1 per cent in the day. However, since the beginning of July, their prices have remained largely limited to between $62,000 and $66,000, and have not yet moved in a clear direction.

Interest rates are expected to be of interest to the encrypted market because changes in interest rates affect credit conditions and the liquidity of the United States dollar, and thus the demand for risk assets. Historically, interest-rate cycles have tended to suppress highly volatile assets such as bitcoin, while easing expectations have often helped to improve market risk preferences.

Market bets hold.

According to CME Fedwatch data, traders now expect the Fed to raise the base rate by 25 basis points to 3.75 per cent to 4 per cent in September, with the probability that the interest rate will remain unchanged for most people.

This probability fell back last week after the July inflation report in the United States. The report showed that the slowdown in inflation was largely in line with market expectations and further weakened the need for further interest rates in the short term.