Here's a summary of recent **Powell Remarks** (as of key points up to mid-2024):
Federal Reserve Chair Jerome Powell's recent public statements have consistently emphasized a **cautious and data-dependent approach** to monetary policy. Following the June 2024 FOMC meeting, the Fed held interest rates steady at a 23-year high (5.25%-5.50%).
Powell acknowledged that while inflation has moderated significantly from its peak, progress towards the Fed's 2% target has **stalled recently**. He stated the current policy is restrictive and dampening demand, but repeatedly stressed the **need for "greater confidence"** that inflation is moving sustainably down before considering rate cuts.
He downplayed the likelihood of future *rate hikes*, barring unexpected strength in inflation data. Powell emphasized the strength of the labor market and overall economy provides the Fed **patience** to await clearer signs of disinflation. His remarks signal that while the Fed's next move is likely a cut, the **timing remains uncertain**, hinging on upcoming inflation and employment reports. Markets now anticipate *potential* cuts later in 2024, possibly starting in September or December.