In a pivotal address at the Jackson Hole Symposium in Wyoming, Federal Reserve Chair Jerome Powell signaled a forthcoming shift in interest rates Friday, stating “the time has come for policy to adjust.”
His remarks suggest the Fed is on the cusp of easing interest rates, yet Powell emphasized the importance of data-driven decisions, carefully avoiding any commitment to specific timing or the magnitude of those cuts.
As the Fed becomes more confident in inflation gradually returning to its 2% target, Powell emphasized the need to closely monitor the labor market, which he said is showing "unmistakable" signs of cooling.
The anticipation of impending interest rate cuts extended a decline in the dollar, which tumbled to its lowest level in over a year. This shift in policy direction invigorated interest rate-sensitive ...
