- Jeff Schmidt said some companies are pausing hiring.
- Cryptocurrency prices may overheat.
- Oil and gas prices may also be a factor.
Kansas City Fed President Jeff Schmidt issued a statement regarding the suspension of AI hiring. The unemployment rate rose slightly in February, but inflation statistics have not yet been released. Given that crypto prices are already falling at the moment, an unfavorable situation could see the crypto market branching out to safer alternatives.
Jeff Schmidt talks about hiring suspension
Kansas City Fed President Jeff Schmidt said artificial intelligence (AI) may be driving structural change as some companies halt hiring. He added that companies are pausing before hiring as they think through the skill sets they need.
His statement comes at a time when the unemployment rate in February 2026 is set to be 4.4%, slightly higher than the 4.3% in January 2026. The statement was also released days before the inflation figures were released. For reference, the inflation rate in January 2026 was 2.40%, down from 2.70% in December 2025.
Notably, total non-farm employment declined to 92,000 in February 2026.
What about virtual currency prices?
Cryptocurrency prices have already fallen significantly, but a more conservative approach may be adopted. Market capitalization decreased by 2.44%. Additionally, it faces competition from gold and silver, both of which are increasing in their respective values.
For example, gold rose 1.77% in 24 hours to $5,171.50. Similarly, Silver rose 2.68% over the same timeline to trade at $84.44. The US dollar fell 0.21% on the index, but remained at a respectable level of 98.85. It is still up 1.21% in the past month and is up 7.85% over the past five years.
possible confusion
Cryptocurrency prices may also face challenges as oil and gas prices rise to around $90 per barrel. Almost 20 million barrels of oil are reportedly stranded due to the dangerous passage from the Strait of Hormuz. Further increases could lead to inflation.
A Reuters report suggests that the Middle East conflict may be short-lived. This is based on oil options and futures.
For now, oil and gas prices are being watched around the world. The prices of virtual currencies are focused on a decline in their respective values. And hints about a hiring moratorium are causing anxiety among people, especially among low-income groups.