Old Powell, you really are off the charts!! Speaking slowly with caution. He said the current economic growth rate has dropped to about 1.5%-2%, and the job market is still gradually cooling down, but the issues aren't too big. The most tangible thing is that he admitted nobody has much confidence in predicting the interest rate path, and even the Federal Reserve feels uncertain about the future, with too much unpredictability. Honestly, just be straightforward and say it’s not working out!
Inflation remains a core issue; cooling in housing has helped a bit, but the tariff impact is definitely not a one-time thing. Companies are planning to pass this part of the cost onto consumers, and price pressure will continue. Internally, the Federal Reserve is clearly more hawkish, with seven members supporting no interest rate cuts this year, pushing back expectations for rate cuts. Fitch has poured cold water on U.S. fiscal matters, saying the deficit won't come down, and Social Security and Medicare expenditures are still rising, making the fiscal outlook quite troublesome. The White House may not like Powell's stance of holding steady, but the Federal Reserve's attitude is very firm: stabilize first, and then talk once things are clearer. Ordinary people need to be mentally prepared; they will have to endure high prices and high interest rates for a while longer.
Damn, four people changed to seven people not supporting rate cuts, that's really off the charts!!!!!!!!
