Attention ⚠️
Time is the key to take off 🛫!!!
Fed Chairman Powell gave a speech on July 2, predicting that inflation is expected to fall back to the target level of 2% in the next two years.
He pointed out that the current Fed policy remains appropriately restrictive to ensure economic stability.
Powell also emphasized that although the inflation phenomenon in the service industry is of the catch-up type, the labor market is gradually cooling down, and wage growth, although still above the expected equilibrium point, is adjusting to a more sustainable level.
He specifically mentioned that inflation control in the service industry is relatively more challenging. Powell is optimistic about the future direction of the labor market and believes that it is moving in a more balanced direction.