So, the big story right now, once again, is less cryptonative and has a lot more to do with what's happening in the macro world. Now, we were all watching with baited breath as to what Kevin Warsch would do in his first FOMC meeting. Now, you've seen our Warsch memes, we're going to bring him up. Was he going to be this warsche, the sock puppet who Donald Trump was controlling?
I think actually we got a little more of this Warsch, Daddy Warschbucks, the rich guy worth billions coming in doing exactly what he wants to do. So yeah, the story, you know, Bitcoin slides as Fed says it will deliver price stability under Kevin Warsch.
Yeah, okay. So what we actually got was exactly what Kevin Warsch tell told us we were likely to get, which was basically canceling forward guidance, him not providing a dot plot, and refusing to answer almost any question about what the Fed was likely to do in the future. Now, he did say he was going to focus on the actual mandate, which is price stability and jobs. Those are actually the Fed's jobs for those who don't know.
So they held rates unanimously, 12 to zero at 3.5 to 3.75%. But if you looked at the other members dot plots, we did get a lot of them saying that they were likely to hike. We can look at the summary right right here actually. I'll bring that up. Summary of Fed decision. Fed leaves rates unchanged. Nine out of 18 officials expect at least one rate hike this year. By the way, six of them said two.
The Fed lowered its median 2026 US GDP projection. The Fed sees PC PC inflation not returning to its 2% target, blah, blah, blah, blah, blah. Right?
And so maybe one of the most interesting things was that he was asked directly whether he believed that the 2% inflation target was accurate and his thoughts on that. And he made a very curious comment. He said, we're more concerned with what's on the left of the decimal point and not on the right. Meaning that 2.0, 2.1, 2.8, 2.9, all kind of the same.
And many critics of the Fed have said that the 2% target is a myth. It was made up. If you've ever heard the story which we've told on this channel actually before. It was effectively from a press conference in New Zealand where somebody just made them up, made the number up live on TV and everybody around the world adopted it. But let's call the 2% target uh the consistent one for no reason.
Uh but now saying maybe we'll float that rate between 2 to 3%, right? That's sort of what he alluded to here and I think that the market absolutely did not love that. Also, there were some strange sort of conflicting narratives, right? They obviously have mentioned that the war in Iran and oil prices were a temporary inflationary spike and that that was likely to come down, but still was given as a reason by many of them for rates not to come down right now.
But curiously, by that meeting, we've seen massive disinflation in oil prices with a peace agreement in the works. And we're already with back to having oil trade before uh back to the prices where it was before the conflict. So, listen, I think this is probably good news for the Fed, right? I think uh everybody knows that we should not be reacting to the coughs and sneezes of the Fed chairman.
We shouldn't have 10 speeches every two weeks from the other Fed governors who all conflict with one another and watching markets react to all of this nonsense. So, if we get a narrower mandate, the one that is actually mandated by Congress, and we get less noise and more signal from the Fed, that is probably a good thing. But that said right now, it does not look like he's going to do exactly what Trump asked him to do and put him there for.
And we are likely to see a pretty, I think, even uh keel here where we don't see a rate cut, but probably also, if we're being intellectually honest, don't see a rate hike. Now, Trump, who obviously nominated him expecting cuts actually said the hold seemed all right and that a hike could happen. At the end of the day, though, if we expect the dollar to go up and rates to remain here or go up, that's generally bad for risk assets and could put some pressure on Bitcoin in the future.