Attention everyone! Powell's speech this time was like throwing a 'deep-water bomb' into the financial market, and the Fed's statement is full of nuances; we must carefully sort through the key information, so let's quickly look at the highlights!

Powell's speech is filled with 'golden phrases'

Cleverly shifting blame: Powell blamed inflation issues on tariffs, stating that he does not care about Trump's decisions and only decides whether to cut interest rates based on the final results. Regarding the debt issue, he also completely shirked responsibility, as if these matters had nothing to do with him, showing a very obvious 'not my concern' attitude.

Feeling overly good about himself: In his speech, Powell praised the current inflation, employment, and economic situation, giving the impression that everything is under control and the situation is improving, wildly giving himself and the Fed's work a 'thumbs up.'

Contradictory worries: On one hand, he stated the current situation is stable, while on the other hand, he muttered that current tax rates are too high, revealing concerns about future inflation possibly spiraling out of control. This attitude of affirming the status quo while harboring doubts is full of contradictions.

Master of 'Tai Chi': When asked about the key time for interest rate cuts, Powell gave a vague answer of 'we'll see how it goes'; regarding the specific criteria for employment rates, he was also ambiguous, never providing clear information, showcasing remarkable 'Tai Chi' skills.

Sitting steadily on the 'fishing platform': Powell believes the current employment situation is solid, and there are no signs of economic collapse. Regarding the GDP decline in the first quarter, he attributed it to the interference of import data, seemingly waiting to see how Trump will respond to economic issues while he remains comfortably on the 'fishing platform.'

Madly shirking responsibility: Regarding the negotiation results, Powell stated he was unaware; about the impact of reduced shipping volume at Chinese ports on the U.S. economy, he claimed supply chain issues are not his concern, emphasizing that interest rate hikes and cuts only affect the public’s demand, completely distancing himself from responsibility.

Key points of the FOMC statement

Interest rates remain unchanged: At this FOMC meeting, a unanimous 12 votes approved keeping the benchmark interest rate at 4.25%-4.50%, maintaining this for three consecutive times, which shows the Fed's cautious attitude towards interest rate policy.

Employment situation is acceptable: The statement pointed out that the unemployment rate is stable, and the labor market shows strong resilience, making the overall employment situation relatively optimistic.

Continuing to advance balance sheet reduction: In terms of the balance sheet, the pace of reducing Treasury and MBS holdings remains unchanged, as the Fed continues to push forward with its 'slimming' plan, gradually adjusting its asset structure.

Inflation concerns remain: Although the current economic situation is generally stable, inflation levels are still high, and the risks of high unemployment and high inflation are rising, bringing certain uncertainties to future economic development.

Future economic fog is dense: The statement mentioned that the economic outlook is full of uncertainty. Although current data fluctuate due to import and export factors, the overall economy still maintains 'steady' growth, but this 'steady' growth description is rather vague, and the future economic trajectory remains elusive.

From Powell's speech and the Fed's statement, the current economic situation in the U.S. seems stable, but in reality, there are undercurrents, and the future direction of policy and economic development is full of uncertainty, which we need to keep a close eye on!