The Federal Reserve is reportedly caught in a challenging situation as it navigates potential inflation risks heading into 2026. According to Brandon Smith of Alt-Market, the Fed's 17 years of aggressive monetary policy have left it in a precarious position. Lowering interest rates could lead to hyperinflation, while maintaining high rates might trigger a deflationary crash. Smith anticipates a return to inflation by 2026 as the Fed potentially shifts to a looser monetary policy cycle. He suggests that gold and silver could serve as effective hedges against these economic uncertainties.