UBS analyzes Jerome Powell's speech: What can we expect in the future? It led to a sharp rise in prices

⚪Jerome Powell⬅️ indicated a significant shift in monetary policy direction in his speech at ⬅️Jackson Hole.✔️📝

⚪Powell's speech,🔺 along with recent data on the labor market and changes in inflation expectations🔻, reveals a clear shift in the Federal Reserve's priorities,🔻 according to analysts at UBS.✔️📝

⚪In his speech⬅️🔺, Powell summarized the economic outlook for the first half of the year,🔺 then referred to the July employment data🔻, and highlighted labor market imbalances🔻. UBS stated that these remarks indicate a potential shift in the Federal Reserve's policy bias✔️📝.

⚪According to UBS🔺, the critical points in Powell's message 🔺were as follows:🟰📊

⚪Focus on employment rather than inflation🟰: Powell stated that the Federal Reserve will now take into account employment and inflation risks🔺. UBS stated that this indicates a dovish shift in monetary policy stance.✔️📝

✔️Labor market risks🟰: Powell warned that job losses could happen quickly and lead to sharp increases in unemployment.✔️📝

⚪Inflation expectations will be monitored:🟰 Powell stated that inflation is rising due to 🔺temporary and not permanent effects and that the Federal Reserve🔺 will change its stance again if necessary.✔️📝

🟢Not an investment advice 🟢

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