Point of View: The Federal Reserve Has Over-Eased, with a 65% Chance of Stagflation in the United States

According to Yu Jin Monitoring, during Walsh’s speech, the so-called "largest long position holder on Hyperliquid" took advantage of the price spike to add 1,000 BTC long positions, valued at approximately $79 million. The entity also added 28,000 ETH long positions today, with an average entry price of $78,780 for BTC longs and $2,490 for ETH longs.

According to Bitget market data, spot palladium has surged 8.00% intraday, currently trading at $1457.21 per ounce.

European Central Bank (ECB) Governing Council member Robert Holzmann stated that the inflation situation has not yet been resolved, and there is sufficient reason for a September interest rate hike. (Jinshi)

Omaid Sharif, an analyst at inflation research firm Inflation Insights, said: "Fed Chair Waller gave the market what it wanted – a more detailed explanation of his views on current economic data, especially inflation figures. Of course, he didn’t reveal any potential policy actions down the line. In that sense, it seems like a win-win for both Waller and the market."

According to Lookonchain monitoring, 6,000 BTC belonging to Irish drug trafficker Clifton Collins—whose private key was previously lost—has resumed transfers after a month. Fifty-one minutes ago, 500 of these BTC (valued at approximately $39.56 million) were transferred to Coinbase Prime. Collins purchased around 6,000 BTC between 2011 and 2012 at an average price of roughly $5 per coin, printing the private key on paper and hiding it. After his arrest on drug charges, authorities seized his assets but failed to recover the private key.

Fed Chair Kevin Warsh delivered his first speech at the Jackson Hole symposium, emphasizing that policymakers must confirm core inflation is moving toward the 2% target—otherwise, more work lies ahead. He noted financial conditions cannot be described as restrictive, and inflation data has not shown significant trend improvement, adding the Fed’s current primary focus should be on prices, with forward guidance playing a limited role. Warsh also pointed out the likelihood of the economy achieving substantially higher growth is rising, urging market participants to focus on real economic information rather than outdated or inaccurate data when crafting forward-looking policies. He reiterated the Fed will bring inflation back to its 2% target, calling it a clear, fixed goal. “My standard is that we must be confident underlying inflation is moving toward our target, and the pace must be sufficiently clear and rapid. Otherwise, we still have work to do—that is our duty,” he said. Warsh further stated current financial conditions are not restrictive, with interest rates serving as the Fed’s primary tool for fulfilling its mandate. “Although this summer’s PCE and CPI data came in better than expected, they have not convinced me a meaningful improvement in the underlying inflation trend has occurred,” he noted. “Market prices reflect confidence that we will achieve price stability, and I can assure you the market’s judgment is correct.” Adding that with inflation above 2%, the Fed’s “current top priority should be prices,” Warsh stressed another key point: “Price stability will not automatically be achieved, nor will inflation necessarily return on its own. Delivering price stability is the Fed’s responsibility.”