Preview of Fed Chair Powell’s Speech: Focus on Rate Cut Trajectory and Policy Framework Review

According to ChainCatcher, citing Jinshi News, Powell’s speech at Jackson Hole will focus on the path of interest rate cuts and the review of the policy framework. Most institutions expect him to adopt a neutral stance, without giving a clear signal of rate cuts, and may also downplay the flexible average inflation target while emphasizing a balance between employment and inflation. Powell may acknowledge that the CPI has eased somewhat but remains above target, and will pay attention to inflation in the services sector and tariff pressures. He may also address the cooling of non-farm payroll data and issues in the labor market, but is likely to downplay the impact of any single data point.