All eyes will turn to Federal Reserve Chairman Jerome Powell on Friday, when he is scheduled to deliver a highly anticipated speech at a central bank conference in Jackson Hole, Wyo.
The annual event previously has served as an opportunity for policymakers to tease forthcoming rate moves. Last year, Powell signaled a pivot to cuts, saying “the time has come for policy to adjust” and that “my confidence has grown that inflation is on a sustainable path back to 2%.”
Wall Street overwhelmingly expects the Fed to resume rate cuts in September, after holding off for months as President Donald Trump’s tariffs ripple through the economy. That’s as Trump and the White House have put immense pressure on the Fed to ease while a more dovish governor was named to the board of governors.
But Powell may not drop big hints this year.
For one thing, some analysts don’t think a September rate cut is in the bag because inflation remains above the Fed’s 2% target and is ticking higher as tariffs put upward pressure on prices.
