#鲍威尔发言 Powell's Congressional Testimony: The Federal Reserve Maintains a Hawkish Stance

Federal Reserve Chairman Powell clearly stated in his July congressional hearing that combating inflation remains the top priority. He pointed out that the core PCE price index is still as high as 4.1%, far above the target level of 2%, implying that interest rates may remain elevated for a longer period. Powell particularly emphasized the risk of an overheating labor market, noting that hourly wage growth remains at an unsustainable level of 5.2%. The market interpreted his remarks as a strong signal for a 25 basis point rate hike in September, leading to a decline of over 2% in the three major U.S. stock indices that day, while the U.S. dollar index rose to a yearly high of 105.3.