Powell Signals Possible Fed Rate Cut at 2025 Jackson Hole Meeting

Key Takeaways:Fed Chair Jerome Powell hinted at a possible rate cut in September.Powell said the risk of weaker employment now outweighs the risk of persistent inflation.Analysts expect no more than two cuts in 2025, signaling a cautious easing cycle.Powell Turns Dovish at Jackson HoleU.S. Federal Reserve Chair Jerome Powell suggested that the central bank could soon begin cutting interest rates, delivering a dovish signal during his speech at the 2025 Jackson Hole Global Central Bank Annual Meeting.According to a report from Cathay Haitong Securities, Powell emphasized that the Fed now views the downside risks to employment as greater than the upside risks of inflation. This shift highlights growing concern about labor market weakness, even as price pressures remain elevated.