Powell will speak at Jackson Hole amid political pressure and mixed economic data
Fed Chairman Jerome Powell will speak at the annual Jackson Hole economic symposium at 10 PM on Friday (Beijing time).
The Fed is currently facing unprecedented political pressure, particularly from the U.S. accommodating Donald Trump's hardline views, while mixed economic data may force Powell to take a neutral stance.
Regarding interest rate policy, some analysts believe Powell may pave the way for cutting interest rates in September to reflect weak job growth and recession risks, but will avoid making any further commitments before the Fed has solid evidence that rising inflation is only temporary.
This cautious stance is unlikely to please Trump, who wants to sharply cut interest rates to around 1%, as well as investors who are hoping for multiple cuts this year, although confidence in the Fed's ability to cut rates as early as September has begun to waver.