asset price plunge risk
Federal Reserve officials are increasingly voicing concerns that a decline in asset prices could pose challenges for future rate cuts. This sentiment reflects a growing unease among policymakers about the potential impact of falling asset values on the economy. The Fed’s hawkish members are particularly worried that a significant drop in asset prices could complicate monetary policy decisions. As these officials discuss the implications of such risks, they emphasize the need for careful consideration in future rate-setting actions. The potential for asset price declines to hinder economic stability is a key focus of their discussions.
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