Trade war could force Fed to raise rates, hurting crypto
Komal Sri-Kumar, president of Sri-Kumar Global Strategies, warned that the ongoing U.S.-China trade tensions could push the Federal Reserve towards hiking interest rates, a move that is generally seen as a headwind for cryptocurrency and other risk assets.
Speaking on CNBC’s “Power Lunch” segment Wednesday afternoon, Sri-Kumar said he believes an interest rate hike is necessary as inflation risks mount. Notably, he expressed skepticism over the narrative that the trade war is nearing resolution which means the “Fed has to be vigilant”.
This view contradicts the growing market expectation of rate cuts as the Fed attempts to support economic growth. Crypto.news analyst Crispus Nyaga commented in an April 4…
