The president of the Federal Reserve, Jerome Powell, is set to deliver his latest speech in Jackson Hole today, August 21, 2025, at the annual economic symposium in Wyoming. This event is under intense scrutiny as markets and policymakers await his insights on the direction of the Federal Reserve's monetary policy.
🔍 What to Expect from Powell's Speech in Jackson Hole
Investors are eagerly anticipating whether Powell will signal a 25 basis point cut at the upcoming Federal Reserve meeting on September 16 and 17. While recent economic data, including weak July employment figures, have fueled expectations for easing, Powell's recent public statements have maintained a cautious stance. The CME FedWatch tool indicates an 85% probability of a rate cut next month, although this has decreased from 99% a week ago, reflecting growing uncertainty.
Powell's speeches in Jackson Hole have historically influenced market movements, with the 10-year Treasury yield rising an average of 21 basis points in the month following each of his last seven speeches. Given the current economic situation, his comments could have a significant impact on market sentiment.