Interest rate cut expectations just keep getting deeper as Powell's 'risk bias' changes
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Jerome Powell, Chair of the Federal Reserve, indicates a shift in interest rate policy; current rate is 5.25%, a two-decade high; analysts expect a potential cut of 0.25% to 0.5% in September; JPMorgan forecasts a total cut of 100 bps by year-end; rising unemployment and softening labor demand complicate the Fed's dual mandate of controlling inflation and maximizing employment; Powell's Jackson Hole speech suggests a need for policy adjustment; Wharton Professor Jeremy Siegel advocates for immediate cuts to 4% or less; concerns arise that failure to cut rates could lead to recession.
#FederalReserve #InterestRates #JeromePowell #Economy #Recession #Employment #Inflation #Jpmorgan #BankOfAmerica #LaborMarket
https://fortune.com/2024/08/29/fed-interest-rate-cut-expectations/
Fortune /
npub1v7…9v0r4
2024-08-29 23:49:35
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npub1v7hvaa8pv7g92sr6na55dtzaxmrrsgddxkhst3e8atw4nxusm37sg9v0r4Published at
2024-08-29 23:49:35Event JSON
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"content": "Interest rate cut expectations just keep getting deeper as Powell's 'risk bias' changes\n==========\n\nJerome Powell, Chair of the Federal Reserve, indicates a shift in interest rate policy; current rate is 5.25%, a two-decade high; analysts expect a potential cut of 0.25% to 0.5% in September; JPMorgan forecasts a total cut of 100 bps by year-end; rising unemployment and softening labor demand complicate the Fed's dual mandate of controlling inflation and maximizing employment; Powell's Jackson Hole speech suggests a need for policy adjustment; Wharton Professor Jeremy Siegel advocates for immediate cuts to 4% or less; concerns arise that failure to cut rates could lead to recession.\n\n#FederalReserve #InterestRates #JeromePowell #Economy #Recession #Employment #Inflation #Jpmorgan #BankOfAmerica #LaborMarket\n\nhttps://fortune.com/2024/08/29/fed-interest-rate-cut-expectations/",
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