Jerome Powell will make his final appearance as Fed chair at the Jackson Hole gathering, speaking on the economic outlook and the Fed's trade-off between fighting inflation and supporting employment. The speech arrives under White House pressure to lower interest rates and roughly three-and-a-half weeks before the next Fed policy meeting. Investors are watching for signals about a potential September rate cut, though some economists warn Powell may not reveal intentions. The Fed cut rates last year and has paused since December. Inflation remains above the 2% target while the labor market shows signs of softening.
Federal Reserve Chairman Jerome Powell will speak Friday in what will be his final appearance as Fed chair at the high-profile, high-altitude meeting in Jackson Hole, Wyo. The speech comes as the central bank is under mounting pressure from the White House to lower interest rates. Powell will address the economic outlook, three-and-a-half weeks before the Fed's next rate-setting meeting. He'll also talk about the central bank's longer-term balancing act between fighting inflation and unemployment.
Investors will be listening for any clues Powell may offer about a possible rate cut at the next Fed policy meeting in September. But they could be disappointed. "I wouldn't hold my breath waiting for Jay Powell to tip his hand on whether the Fed is going to cut rates," says Joe Brusuelas, U.S. chief economist at the accounting and consulting firm RSM. After cutting its benchmark rate by a full percentage point last year, the Fed has held interest rates steady since December.
Collection
[
|
...
]