As the tariff war between the US and China burned daily, tensions between the two countries caused a sharp decline in Bitcoin and altcoin.
The market is hoping that the Fed will begin cutting interest rates as soon as possible as Bitcoin and altcoins rise again, but the Wall Street giant is calling on the Fed for urgent rate cuts.
However, Nouriel Roubini, a well-known economist known as “Dr. Doom” for his accurate predictions about the 2008 global financial crisis, has issued a new warning to Wall Street.
Rubini, a New York University professor and a well-known Bitcoin skeptic, warned investors not to resort to the Fed to quickly resolve the financial market instability caused by Trump’s tariffs.
Speaking to Bloomberg, Rubini said he warned that investors should ease their expectations of a Fed’s savior, and that investors who are hoping for a quick Fed intervention could be disappointed.
The Fed will wait for Trump to take his first step!
The well-known economist said Fed Chairman Jerome Powell would step in to stabilize the market, but he would do so after Trump takes the first step and tempered rhetoric.
Rubini also said he expects the Fed to remain stable for the remainder of the year as the US economy fights policy over tariffs and avoids a recession.
He added that investors who expect the Fed to step in quickly could be disappointed and should not rely on the Fed to resolve the financial market instability caused by Trump’s international trade tariffs. Powell could wait until Trump eases his actions before intervening to stabilize market volatility.
*This is not investment advice.
