FED CHAIR WARSH: "2% INFLATION TARGET IS FIRM AND FIXED" — MARKET PRICES IN SEPTEMBER HIKE



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Federal Reserve Chair Kevin Warsh delivered a starkly hawkish message at Jackson Hole on August 28, and crypto markets are still feeling the aftershock.

"The 2% PCE inflation objective is a firm, fixed target," Warsh said in prepared remarks. With 12-month PCE inflation at 3.7% and the six-month change running at 4.1%, Warsh indicated policymakers "still have work to do" unless inflation moves toward target "clearly and at sufficient speed" .

The immediate impact:

· Bitcoin fell from ~$80,000 to below $77,000
· 2-year Treasury yield spiked ~12.8 basis points to 4.36%
· USD strengthened against major currencies
· Rate hike expectations for September jumped significantly

The reversal has shifted market sentiment from "soft landing" optimism to renewed hawkish fears .

👇 Do you think the Fed will hike rates in September? Type YES or NO.#RobinhoodChainDailyRevenueSurpassesEthereum #GateLaunchesJapaneseStockTrading
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VolSmile
· an hour ago
BTC fell from $80k to $77,000; whenever traditional finance coughs, crypto gets pneumonia. When will this correlation decouple?
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L2Pioneer
· an hour ago
2% ironclad target? The market dipped first out of respect, and ETH isn’t wrong to follow this move.
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StopLossMuseum
· an hour ago
U.S. Treasury yields surged to 4.36%; everyone has moved their money to sit back and collect interest—who’s still playing high-risk assets?
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MemeArchaeology
· an hour ago
I’m betting NO—the Fed’s tough talk and soft actions are an old script. Why not actually hike 50 bps?
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RocketLauncher
· an hour ago
The short squeeze is over, and now macro headwinds are here—are the long wallets okay?
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