{"id":2527,"date":"2026-07-12T15:00:38","date_gmt":"2026-07-12T15:00:38","guid":{"rendered":"https:\/\/xrpfaucet.site\/?p=2527"},"modified":"2026-07-12T15:00:38","modified_gmt":"2026-07-12T15:00:38","slug":"economists-see-lower-recession-risk-will-fed-still-hike-interest-rates","status":"publish","type":"post","link":"https:\/\/xrpfaucet.site\/?p=2527","title":{"rendered":"Economists See Lower Recession Risk: Will Fed Still Hike Interest Rates?"},"content":{"rendered":"<div class=\"crypto-article\">\n<p>\ud83d\udcf0 <strong>Exclusive Crypto News &#038; Analysis:<\/strong> Stay ahead with the latest developments in the cryptocurrency and blockchain space.<\/p>\n<p>\ud83d\udcc8 <strong>Market Update:<\/strong> Real-time price movements, technical analysis, and trading signals.<\/p>\n<p><strong>US economists lowered their recession odds to 25% while raising inflation forecasts, according to a Wall Street Journal survey, leaving the Federal Reserve little room to cut interest rates this year.<\/strong><\/p>\n<p>The shift matters for crypto markets. A higher-for-longer Fed removes the catalyst that risk assets had counted on for a second-half recovery.<\/p>\n<h2 class=\"bic-gutenberg-heading wp-heading wp-block-heading\" id=\"h-survey-points-to-sticky-inflation-and-a-cautious-fed\">Survey Points to Sticky Inflation and a Cautious Fed<\/h2>\n<p>The July survey of 72 economists ran from July 2 to July 7. They cut recession<a target=\"_blank\" href=\"https:\/\/beincrypto.com\/us-labor-market-contraction-healthcare-jobs\/\" rel=\"noreferrer noopener\"> odds to 25%<\/a> from 33%, the lowest reading since early 2025.&nbsp;<\/p>\n<p><strong><em><a target=\"_blank\" href=\"https:\/\/go.beincrypto.com\/beincrypto-X\" rel=\"noreferrer noopener\">Follow us on X<\/a> to get the latest news as it happens&nbsp;<\/em><\/strong><\/p>\n<figure class=\"wp-block-image size-full is-resized\"><img decoding=\"async\" src=\"https:\/\/assets.beincrypto.com\/img\/6IdnNctUamxkdUEwgJ4mjJhJzHE=\/smart\/72e594bf7b3c4fe487eae2a17d4bfc1c\" alt=\"US Recession Odds.\" class=\"wp-image-848085\" style=\"width:533px;height:auto\"><figcaption class=\"wp-element-caption\">US Recession Risk Odds. Source: <a href=\"https:\/\/www.wsj.com\/economy\/central-banking\/war-leaves-economy-with-more-stubborn-inflation-economists-project-b83af0ba\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Wall Street Journal Survey<\/a><\/figcaption><\/figure>\n<p>Job-market views improved too, with December unemployment seen at 4.3%. Furthermore, forecasters now expect the economy to grow 2.1% this year, up from 2% in April.<\/p>\n<p>Nonetheless, inflation told a different story. Economists <a target=\"_blank\" href=\"https:\/\/beincrypto.com\/arm-stock-rate-hike-cpi-risk-analysis\/\" rel=\"noreferrer noopener\">expect consumer prices<\/a> to rise 3.4% through December, above April&rsquo;s 3.2% estimate. Core PCE, the gauge Fed watches most closely, is projected at 3.2%.<\/p>\n<blockquote class=\"max-w-xl text-4.5 border-l-2 border-blue-600 pl-11 mb-9 select-all (&amp;_p):!mb-0 wp-block-quote quote-solid is-layout-flow wp-block-quote quote-solid-is-layout-flow\">\n<p>&ldquo;We&rsquo;re learning that there&rsquo;s more momentum in the economy: It keeps growing at 2% no matter what you throw at it, and inflation stays elevated,&rdquo; Robert Fry, a Delaware-based independent economic consultant, said.<\/p>\n<\/blockquote>\n<h2 class=\"bic-gutenberg-heading wp-heading wp-block-heading\" id=\"h-why-rate-expectations-weigh-on-bitcoin\">Why Rate Expectations Weigh on Bitcoin<\/h2>\n<p>Interest rates shape how investors treat risk. Lower rates cut returns on cash and bonds, pushing money into stocks and crypto. Higher-for-longer rates do the reverse.<\/p>\n<p>When safe assets pay more, capital rotates out of volatile holdings first. <a href=\"https:\/\/beincrypto.com\/bitcoin-risks-former-meta-google-engineer-warns\/\" target=\"_blank\" rel=\"noreferrer noopener\">Bitcoin (BTC) often sits <\/a>near the front of that queue. A delayed cut, therefore, removes a key support.<\/p>\n<p>Traders have turned more hawkish this week. CME FedWatch shows a 34.2% chance of a hike at the July meeting, up from 18.2% a week ago. Renewed US-Iran hostilities have fueled those bets.<\/p>\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" src=\"https:\/\/assets.beincrypto.com\/img\/sRbeLfEFW0Ex4dKzR5M51uBiPd8=\/smart\/2b97539b6ee948a28aa6a12c8ff20ca8\" alt=\"Fed Rate Hike Odds in July.\" class=\"wp-image-848084\"><figcaption class=\"wp-element-caption\">Fed Rate Hike Odds in July. Source: <a href=\"https:\/\/www.cmegroup.com\/markets\/interest-rates\/cme-fedwatch-tool.html\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">CME FedWatch<\/a><\/figcaption><\/figure>\n<p>The Fed&rsquo;s June minutes reinforced the divide. Officials voted unanimously to hold, yet split on the path ahead. <a target=\"_blank\" href=\"https:\/\/beincrypto.com\/fed-minutes-rate-hike-risk-ai-inflation\/\" rel=\"noreferrer noopener\">Nine of 18 policymakers projected<\/a> one hike before the end of 2026.<\/p>\n<p>Several flagged inflation risks are tied to <a target=\"_blank\" href=\"https:\/\/beincrypto.com\/hammack-ai-demand-inflation-rate-hikes\/\" rel=\"noreferrer noopener\">spending on artificial intelligence (AI).<\/a> The next Federal Open Market Committee (FOMC) meeting is scheduled for July 28 and 29.&nbsp;<\/p>\n<p>Given persistent inflation, a rate cut looks unlikely. Cooler data must now do the work of reviving risk appetite.<\/p>\n<p><strong><em><a target=\"_blank\" href=\"https:\/\/go.beincrypto.com\/beincrypto-youtube\" rel=\"noreferrer noopener\">Subscribe to our YouTube<\/a> channel to watch leaders and journalists provide expert insights<\/em><\/strong><\/p>\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\">\n<div class=\"wp-block-embed__wrapper\">\n<\/div>\n<\/figure>\n<p>The post <a href=\"https:\/\/beincrypto.com\/recession-risk-inflation-fed-bitcoin\/\">Economists See Lower Recession Risk: Will Fed Still Hike Interest Rates?<\/a> appeared first on <a href=\"https:\/\/beincrypto.com\">BeInCrypto<\/a>.<\/p>\n<p>\ud83d\udca1 <strong>Pro Tip:<\/strong> Bookmark our site for daily insights, market predictions, and expert trading strategies.<\/p>\n<p>\ud83d\udd17 <strong>Explore More:<\/strong> Check our sections for in-depth guides, exchange reviews, and blockchain technology deep-dives.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>\ud83d\udcf0 Exclusive Crypto News &#038; Analysis: Stay ahead with the latest developments in the cryptocurrency and blockchain space. \ud83d\udcc8 Market Update: Real-time price movements, technical analysis, and trading signals. US economists lowered their recession odds to 25% while raising inflation forecasts, according to a Wall Street Journal survey, leaving the Federal Reserve little room to &hellip;<\/p>\n","protected":false},"author":1,"featured_media":2528,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_seopress_titles_title":"","_seopress_titles_desc":"","_seopress_robots_index":"","_seopress_robots_follow":"","_seopress_robots_imageindex":"","_seopress_robots_snippet":"","_seopress_robots_primary_cat":"","_seopress_robots_breadcrumbs":"","_seopress_robots_freeze_modified_date":"","_seopress_robots_custom_modified_date":"","_seopress_robots_canonical":"","_seopress_social_fb_title":"","_seopress_social_fb_desc":"","_seopress_social_fb_img":"","_seopress_social_fb_img_attachment_id":0,"_seopress_social_fb_img_width":0,"_seopress_social_fb_img_height":0,"_seopress_social_twitter_title":"","_seopress_social_twitter_desc":"","_seopress_social_twitter_img":"","_seopress_social_twitter_img_attachment_id":0,"_seopress_social_twitter_img_width":0,"_seopress_social_twitter_img_height":0,"_seopress_redirections_value":"","_seopress_redirections_enabled":"","_seopress_redirections_enabled_regex":"","_seopress_redirections_logged_status":"","_seopress_redirections_param":"","_seopress_redirections_type":0,"_seopress_analysis_target_kw":"","footnotes":""},"categories":[10],"tags":[],"class_list":["post-2527","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/xrpfaucet.site\/index.php?rest_route=\/wp\/v2\/posts\/2527","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/xrpfaucet.site\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/xrpfaucet.site\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/xrpfaucet.site\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/xrpfaucet.site\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=2527"}],"version-history":[{"count":0,"href":"https:\/\/xrpfaucet.site\/index.php?rest_route=\/wp\/v2\/posts\/2527\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/xrpfaucet.site\/index.php?rest_route=\/wp\/v2\/media\/2528"}],"wp:attachment":[{"href":"https:\/\/xrpfaucet.site\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=2527"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/xrpfaucet.site\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=2527"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/xrpfaucet.site\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=2527"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}