#PowellRemarks

Jerome Powell reiterated that the Fed will keep rates steady at 4.25–4.50% and remain data‑dependent, with any adjustments hinging on how inflation and growth evolve . He projected two rate cuts this year, though some officials now expect none—a sign of growing caution . Powell warned that tariffs will drive up prices this summer, with consumers “ultimately” absorbing costs . He emphasized the solid labor market (4.2%–4.5% unemployment) and a cooling economy, citing slower GDP (~1.4%) and persistently elevated inflation (~3%) . Powell also cautioned against over‑confidence in forecasts given uncertain trade, geopolitical, and fiscal pressures .

🔍 Bottom line: No rate change now, but inflation risks from tariffs and global tensions prompt caution—with cuts likely later in the year if data allow.