Powell signals Fed preparing to restart rate cuts, cites ‘downside risks’ to jobs in Jackson Hole speech
- Wall Street rallied on August 22, 2025, as Federal Reserve Chairman Jerome Powell indicated interest rate cuts may be imminent amid rising job market risks.
- This rally followed a surprisingly weak job growth report this month and Powell's cautious remarks about proceeding carefully with policy changes.
- Major market indexes climbed, with the S&P 500 rising 1.6%, the Nasdaq increasing 1.9% by late morning Eastern time, and the Russell 2000 index, which tracks smaller companies, jumping 3.8%.
- Traders placed a 91% probability on a Fed rate cut in September, up from 75% a day earlier, as Treasury yields fell notably on both 10-year and two-year notes.
- The market's reaction suggests growing investor optimism for easing monetary policy despite ongoing inflation risks and the Fed's challenging dual mandate.
185 Articles
185 Articles
POWELL OPENS THE DOOR TO A TASS RECORT (CON CAUTELA).Jerome Powell hinted that the Federal Reserve could cut rates as soon as September, although he made it clear that it will depend on the data. The president of the central bank described the labor market as “unusual,” with increasing risks of unemployment. He also acknowledged that tariffs are already pushing consumer prices, although he said the impact would be temporary. Powell also presente…
Media Stocks, Markets Soar As Fed Chief Signals September Rate Cut: “The Balance Of Risks Appears To Be Shifting”
It’s been a long wait but Federal Reserve chair Jerome Powell energized stocks today as he cracked open the door to a possible interest rate cut at the Central Bank’s September meeting. In his keynote address at the Fed’s annual economic symposium in Jackson Hole, Powell said that “the baseline outlook and the shifting balance of […]
Jerome Powell finally teases a rate cut, but don’t worry — he’s not about to let Trump claim it as his latest ‘win'
Federal Reserve Chair Jerome Powell recently spoke at the central bank’s annual conference, where he hinted that a change to interest rates might be coming soon. In his speech, Powell described two competing risks for the U.S. economy. Still, he seems to be giving in to Trump’s demands for a lower interest rate. The first risk is that inflation could get worse, which would require the Fed to raise rates. The second risk is that the job market co…
The Fed boss points to growing risks to the labour market and the risk of persistent inflation. US stock exchanges are rising after the Powell speech.
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