2024-07-10 15:11:28

Federal Reserve's Delicate Balancing Act: Powell's Stance on Rate Cuts and Economic Stability

Federal Reserve Chair Jerome Powell's recent statements have sparked optimism in the markets, with investors anticipating potential interest rate cuts. Despite hinting at inflation concerns, Powell refrained from specifying the timing of rate adjustments, emphasizing the need for more data.

The fate of the U.S. economy rests on Powell's ability to navigate the fine line between reigniting inflation and weakening economic activity through rate decisions. As Powell faces pressure from both Democrats advocating for rate cuts to protect jobs and Republicans advising caution before the election, the Fed's upcoming policy meetings will be crucial in determining the future economic trajectory.

Powell's prudent approach and data-driven decisions will play a pivotal role in maintaining economic stability amidst evolving market conditions.

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New York Times - Business
10. Juli 2024 um 11:54

Powell Cheers Markets Looking for Signs on Rate Cuts

The S&P 500 reached a new record high as investors grew more confident that the Federal Reserve could soon cut interest rates. Fed Chair Jay Powell made encouraging comments about inflation and the labor market during his testimony on Capitol Hill, but deflected questions on the timing of potential rate cuts, saying the Fed is looking for more data on inflation before lowering borrowing costs. Powell will testify again on Wednesday, and the upcoming Consumer Price Index report will be a key data point to watch.
10. Juli 2024 um 10:15

The Fate of the U.S. Economy Depends on the Fed's Choice Between a Rock and a Hard Place

Fed Chair Jerome Powell faces a dilemma in managing the U.S. economy, as cutting interest rates too soon or too much could reignite inflation, while waiting too long could weaken economic activity and employment. Powell defended the central bank's policy decisions and reiterated that the Fed remains data-dependent, with the balance of risks shifting between inflation and unemployment. The fate of the economy depends on Powell's ability to navigate this delicate balance.
Yahoo Finance
10. Juli 2024 um 05:33

Bitcoin Price Flat as Fed Chair Jerome Powell Addresses Senate on Inflation

Bitcoin remained stable as Federal Reserve Chairman Jerome Powell testified before the Senate on inflation. Powell did not signal any future interest rate changes, but his comments suggested the potential for a shift in monetary policy. The Fed is focused on reducing inflation while also monitoring labor market conditions, which have returned to pre-pandemic levels.
Kinh doanh - VnExpress
10. Juli 2024 um 09:38

Fed: Kinh tế Mỹ không còn quá nóng

Fed chair Powell says US economy no longer "overheated", signaling potential rate cuts. Fed has raised rates 11 times since March 2022 to 5.25-5.5% to combat inflation. Powell notes labor market has "cooled significantly" and economic growth has slowed, raising concerns about recession risks rather than inflation. Fed faces bipartisan pressure, with Democrats urging rate cuts to protect jobs and Republicans warning against any cuts before the November election.


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