[Our team summarized the key points of Powell's Jackson Hole speech on August 23] The following are the 8 points
[Summary of the key points of Powell's Jackson Hole speech on August 23]
1. Powell's remarks consolidated expectations that the Fed will decide to cut interest rates at the FOMC monetary policy meeting on September 17-18. "Now is the time for policy adjustment," Powell said.#Whenwill the Fed cut interest rates?
2. "The direction of progress is clear, and the timing and pace of rate cuts will depend on the incoming data, the changing outlook, and the balance of risks."#TON
3. Powell said that the cooling of the labor market is "undoubted," adding that "we neither seek nor welcome further cooling of labor market conditions."
4. Powell also said that he is increasingly confident that inflation is on a "sustainable path" back to the Fed's 2% target.
5. "Upward risks to inflation have diminished. "Downward risks to employment have increased," he said.
6. Powell expressed optimism about the Fed's ability to guide the economy back to 2% inflation while maintaining a "strong labor market." He said the current interest rate level gives policymakers "plenty of room to address any risks we may face," including further weakness in the job market.
7. The speech also analyzed the ups and downs of recent inflation events in the United States and the Fed's response to them, outlining the Fed's initial mistake in believing that rising prices were temporary and its strong response.
8. At the end of his speech, Powell endorsed the Fed's upcoming framework review. He stressed the need to focus on lessons learned and "flexibly apply them to our current challenges."