How AI Is Rewriting the Fed’s Script

Powell’s latest briefing may have seemed like business as usual, but beneath the familiar cadence lies a subtle warning: the days of uninhibited monetary easing could be numbered. While the Fed sticks to its well-trodden script, the market is quietly recalibrating, wary that today’s cautious rhetoric masks a seismic shift in economic fundamentals. With innovations like DeepSeek’s new AI models challenging long-held assumptions, the interplay between a measured Fed and disruptive tech is setting the stage for a future where every rate decision carries unforeseen consequences for markets, valuations, and our broader economic outlook. Let’s have a look.