#PowellRemarks

Fed Signals Cautious Approach

Federal Reserve Chair Jerome Powell emphasized a data-dependent approach to monetary policy, noting progress on inflation but stressing the need for more confidence before cutting rates. While recent inflation readings show improvement, Powell indicated that premature easing could risk undermining economic stability. The Fed remains committed to bringing inflation sustainably to 2% but future decisions will hinge on labor market conditions, growth trends, and inflation dynamics. Markets interpreted his remarks as slightly dovish, though rate cuts are unlikely until clearer disinflation signs emerge. Powell’s comments reinforced expectations of a patient Fed, balancing growth risks against inflation control. #EconomicForecast #FedPolicy