The post Kansas City Fed President Jeffrey Schmid Takes a Dig at Rate Cut, Will Cryptocurrencies Benefit? appeared on BitcoinEthereumNews.com.

Jeffrey Schmid has sought a tighter monetary policy. A rate cut is less likely in March 2026. Cryptocurrencies are below the expected price levels. Kansas City Federal Reserve President Jeffrey Schmid has come out in support of keeping the lending rate unchanged, at least in the next March meeting. He has based his statement on the grounds of the recent job data. It remains to be seen how investors react when allocating their funds to cryptocurrencies, which are going through turmoil at the moment. Jeffrey Schmid on Rate Cut Jeffrey Schmid, the President of Kansas City Federal Reserve, has noted the strong economic growth and sought a tighter monetary policy. He has said that the inflation is still running hot with demand exceeding the supply, adding that leaving interest rates high is needed to discourage spending and investment. Jeffrey has further stated that further rate cuts could allow inflation to surge for longer, specifically at a time when the economy has a chance to grow above the trend. His statement comes at a time when US President Donald Trump has sought lower rates and Kevin Warsh, the next Fed Chair, has signalled that his policies would be in line with the same. Rate Cut Paused? A rate cut pause is plausible, given that the employment data have come out better than expected. According to the Bureau of Labor Statistics, the nonfarm payroll rose by 130k in January 2026, and the unemployment rate dropped to 4.3% from 4.4%. Oren Klachkin, a notable financial market economist, has said that an extended pause still seems likely. For a quick reference, the US Federal Reserve kept the lending rate unchanged in the January 2026 meeting. The next meeting is scheduled in March 2026, when it is anticipated that the rate could again remain unchanged.…

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Filed under: News - @ February 12, 2026 5:21 pm