Federal Reserve Chairman Remarks on Market Volatility and Fed’s Non-Intervention – Coincu

Key Points:

  • Jerome Powell clarifies the Fed’s stance on market volatility and intervention.
  • No immediate Fed action is expected, awaiting clarity on policy changes.
  • Volatile markets from tariff policy continue impacting traditional and DeFi sectors.

Jerome Powell, when speaking in Chicago on April 16, addressed volatility concerns in financial markets due to regulatory uncertainty from the current tariff regime. The Federal Reserve, he noted, is not planning any immediate intervention despite the turbulent markets.

The market uncertainty arises from President Trump’s substantial tariff changes. Hedge funds have been cutting leverage, creating volatility. Powell remarked that the present market turmoil reflects this uncertainty and urged for patience in crafting any policy response. As Powell quoted, “As that great Chicagoan Ferris Bueller once noted, ‘Life moves pretty fast.’ For the time being, we are well positioned to wait for greater clarity before considering any adjustments to our policy stance.”

Powell Confirms Fed’s Non-Intervention Amid Tariff-Induced Volatility

Powell’s statement has provoked reactions within the financial community. While some argue for Fed intervention, Powell emphasizes the necessity of allowing more time for clarity, suggesting that “short-term market volatility is expected, yet manageable.”

Ethereum, symbol ETH, trades at $1,578.75 with a market cap valued at $190.55 billion and maintains a market dominance of 7.20%, according to CoinMarketCap. Over the past week, Ethereum has seen a 4.86% price decrease, contributing to a broader 90-day decline of 52.34%.

Ethereum Market Decline: 4.86% Drop Over Past Week

Did you know? During previous market corrections, such as those in 2008, the Fed’s actions were often reactive, addressing systemic risks only when clearly identified. This current stance mirrors historical approaches of evaluation before intervention.

Insights from the Coincu research team indicate potential regulatory outcomes could stabilize volatile markets. Historical and current data suggest that while volatility persists, careful regulatory reforms are favored as a measure against systemic risk failures.

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Ethereum(ETH), daily chart, screenshot on CoinMarketCap at 00:09 UTC on April 17, 2025. Source: CoinMarketCap

Ethereum, symbol ETH, trades at $1,578.75 with a market cap valued at $190.55 billion and maintains a market dominance of 7.20%, according to CoinMarketCap. Over the past week, Ethereum has seen a 4.86% price decrease, contributing to a broader 90-day decline of 52.34%.

Source: https://coincu.com/332622-federal-reserve-market-volatility/