#PowellRemarks #PowellRemarks

🔸Jerome Powell, Chairman of the Federal Reserve (Fed), has announced that the time has come to cut interest rates due to recent progress in moderating inflation.

🔸In a speech at the Fed's annual conference in Jackson Hole, Wyoming, Powell stated that monetary policy must be adjusted to avoid further cooling of the labor market.

📌*Key points from his announcement:*

- *Rate cut*: Powell confirmed that the Fed will begin to lower borrowing costs soon, likely at the September meeting.

- *Inflation*: Inflation has moderated again in recent months after stagnating earlier in the year, and Powell expressed confidence that inflation is on a sustainable path back to 2%.

- *Labor market*: Powell emphasized that the labor market is cooling and that the Fed will do everything possible to support a strong labor market as it moves toward price stability.

📌*Impact on the economy:*

- Investors expect a quarter-point cut at the September meeting.

- The Fed's decision could influence mortgage rates, auto loans, credit cards, and other loans.

- The Fed's goal is to achieve a "soft landing" and avoid an economic recession.