#PowellRemarks

#PowellRemarks

Federal Reserve Chair Jerome Powell's recent remarks signaled a cautious stance on interest rate cuts. He emphasized that inflation remains above the 2% target and that the Fed needs more confidence that inflation is sustainably moving down before easing policy. Powell acknowledged economic growth remains solid, but wage pressures and sticky prices, particularly in services, are concerns. He reiterated the Fed’s data-driven approach, suggesting rate cuts may be delayed if inflation doesn’t ease further. Markets reacted cautiously, with investors adjusting expectations for rate cuts later in the year. Powell’s remarks underline the Fed’s commitment to balancing inflation control with economic stability.