#PowellRemarks ๐Ÿ“ข Change Market Expectations

Fed Chair Jerome Powell's comments above clearly indicate a dovish tilt as cuts won't be the first priority with inflation drifting lower. ๐Ÿ“‰ That said, Powell acknowledged we have come a long way but the Fed wants โ€œgreater confidenceโ€ inflation is trending sustainably towards the Fed's 2% target before any kind of cut..

๐Ÿ”น Market Response:

Stocks dipped slightly and tech appeared weak less than 1%.

Crypto markets unchanged but awaiting clearer signals from the Fed.

Bond yields remain unchanged in the mid-range reflecting Fed chair Powell's discounting any disjoined data analysis to bring it all together.

What does have to do with Powell's comments? He implied that if inflation continues to improve and shrink in size (poising the opportunity for future Fed cuts) the time frame would depend on evidence of further disinflation behavior versus aggressive shields to avoid fake economic recovery without discernable "disinflation". The market is now forced to rely on the upcoming CPI and jobs report to provide further assurance unless thereโ€™s a push for certainty. ๐Ÿง 

Act fast but remain nimble if the market reverts to lump of volatility assessing the Fed's changing tone.