Shiba Memu (SHMU) soars as Federal Reserve concerns persist
The Federal Reserve has decided to maintain current interest rates.
Additionally, it has indicated its plans to implement another rate hike later this year.
Shiba Memu has defied expectations by raising over $3.1 million.
Both stocks and cryptocurrencies faced significant pressure this week due to the Federal Reserve’s hints of higher interest rates in the near future. The Dow Jones, Nasdaq 100, and S&P 500 experienced four consecutive days of decline. Similarly, Bitcoin dropped to $26,000 after reaching almost $28,000 earlier this month.
Federal Reserve’s decision
The latest Federal Reserve interest rate decision serves as the primary catalyst for the performance of stocks, cryptocurrencies, and bonds. The bank has chosen to maintain interest rates between 3.50% and 3.25%. However, the committee has expressed concerns regarding inflation.
Consequently, the dot plot implies a potential 0.25% rate hike by the end of the year. If this occurs, interest rates will reach 5.75%, the highest level in over 23 years. It is justified for the Fed to be apprehensive about inflation
Recent data reveals that crude oil prices continue to surge. Brent, the international benchmark, has reached $95, and many analysts predict it will soon hit $100.
The prices of other agricultural commodities are also increasing. Live cattle has risen by 20% this year and currently sits at a record high. Cocoa, used in chocolate production, has soared due to low yields in Ghana and Ivory Coast. Orange juice prices have also seen a significant increase.
Therefore, there is a likelihood that the Federal Reserve will continue to raise rates in the coming months. Furthermore, UAW workers are engaging in a major strike, and a significant traffic jam is occurring at the Panama Canal.
Shiba Memu thrives despite risks
The actions of the Federal Reserve may potentially plunge the American economy into a recession. The M2 money supply in the economy has decreased by over $2 trillion in recent months. Delinquency rates have also surged, while mortgage rates are approaching 8%.
Nevertheless, investors remain highly interested in Shiba Memu, the upcoming meme coin with artificial intelligence (AI) features. Data on its website (use this link) indicates that the token has already raised over $3.1 million from investors. This positions it as one of the top performers this year.
Shiba Memu aims to surpass Shiba Inu, a prominent meme coin, by incorporating AI features to enhance self-marketing capabilities. If successful, Shiba Memu has the potential to outperform other meme coins such as Dogelon Mars and Pepe, which lack significant utility.