Interest Rate Policy & Inflation - The industry is closely watching the potential for interest rate cuts, but decisions depend on incoming data and colleagues' input, aiming to avoid premature commitments [1][5] - The industry acknowledges mixed inflation signals, including milder-than-expected reports and a concerning rise in services inflation, hoping the latter is a temporary blip [2][4][5] - The industry aims to bring rates down by over 100 basis points from the current median, contingent on controlling inflation and potentially returning to a 2% target [6][7] - The industry expresses concern about stagflation, a situation of declining employment and rising prices, which poses a significant challenge for central banks [8] Tariffs & Economic Impact - The industry is concerned about the impact of tariffs on prices and their duration, distinguishing between a one-time price increase and a potentially inflationary cycle [13][14] - The industry notes that tariffs on intermediate goods (parts, components, supplies) could significantly impact U S manufacturing costs and disrupt supply chains, potentially leading to persistent price increases [15][16] - Tariffs on imported goods account for 11% of the economy [3][15] Fed Independence & Political Interference - The industry emphasizes the critical importance of maintaining the central bank's independence from political interference to ensure stable inflation, growth, and employment [10][11] - The industry focuses on stabilizing prices and maximizing employment when setting interest rates, avoiding distractions from power politics or external commentary [18][19]

Bitcoin, Ethereum Sink as Fed’s Hammack Makes Case for Holding Interest Rates Steady► https://t.co/iiURTfHaik https://t.co/iiURTfHaik ...

With inflation still above target, how restrictive are rates at the moment. I would call them modestly restrictive. They're not overly restrictive.And I think that what we have to be careful of is rebasing our decisioning on rates. And I think the markets do this because look, I'm a former banker. Bankers and bank clients, they love low credit rates.They like lower rates because they can perform better on their capital base. So I I understand that piece, but I think we talk about being rangebound to a degre ...

Federal Reserve Policy & Dual Mandate - The Federal Reserve's dual mandate of inflation and jobs is creating a dilemma, as these goals appear to be in conflict [1] - The Fed needs to determine which aspect of its dual mandate to prioritize: weaker jobs data potentially leading to rate cuts, or persistent inflation [1][2] Interest Rate Path & Economic Factors - The market is closely watching for signals from the Federal Reserve regarding the future interest rate path [1] - Factors influencing the Fed's decision include weaker jobs reports, inflation trends (especially services inflation), and potential tariff relief [2] - It remains uncertain whether Fed Chair Powell's speech at Jackson Hole will indicate a path towards rate cuts or a continuation of the "wait and see" approach [3] Committee Decision-Making - Interest rate decisions are made by the full Federal Reserve committee, not solely by the chair [3]

JUST IN: 🇺🇸 Odds of the Federal Reserve lowering interest rates in September fall to 57%, according to crypto prediction platform Polymarket. https://t.co/OJPVeWodHN ...

Mexico’s central bank cited weak economic growth, a slack jobs market and a stronger peso in its decision to extend interest rates cuts this month https://t.co/C1SVjDUhRu ...

RT Bull Theory (@BullTheoryio)WHY POWELL’S SPEECH TOMMOROW AT JACKSON HOLE 2025 COULD MOVE MARKETS ? 🚨The Jackson Hole Economic Symposium is a prestigious annual three-day conference hosted by the Federal Reserve Bank of Kansas City in Jackson Hole, Wyoming.🇺🇸 Powell Speech: Fed Chair Jerome Powell is scheduled to give his keynote speech on Friday, August 22, 2025, at 10 a.m. EDT (8 a.m. MDT).Why is it Important?The Fed Chair often uses this stage to signal big policy shifts → on interest rates, inflation, ...

Joining us right now is Pria Misra. She is fixed income portfolio manager at JP Morgan Asset Management. And Pria, let's weigh through everything you just heard from these two, what you saw with the numbers.What does JP Pal say tomorrow. How does he tee all of this up. >> So, I think the Fed as well as Chal, they have a really tough job ahead because the dual mandate is intention, right.There's inflation's not at their target and there's inflationary pressures with tariff. Uh even service inflation's higher ...

Fed’s Powell Gives Final Jackson Hole Speech Tomorrow—Here’s What To Watch For On Interest Rates And Morehttps://t.co/V1CxDRkyjf https://t.co/7E9JzlzAYi ...

Monetary Policy & Economic Outlook - The market is focused on the implications of the September 17th events and recent economic data [1] - The speaker interprets recent labor market trends as showing renewed business optimism after initial uncertainty [2][3] - There's a belief that inflation is trending closer to 3% rather than 2%, with the Open Market Committee viewing inflation as a significant risk [4] - Companies have adapted to supply chain disruptions, potentially mitigating the impact of tariffs and other shocks [6][7] - As inflation approaches the dual mandate target, policy rate decisions become more complex [9][10] - The current policy rate is considered modestly restrictive, but the speaker is seeking evidence of economic inhibition [11] - The goal is to achieve a soft landing to 2% inflation without causing economic disruption [12] Federal Reserve Communication & Framework - The Federal Reserve is reviewing its framework, incorporating lessons from the 2020 pandemic cycle, with a focus on improving transmission of its policies [14][15] - A consistent framework is deemed important for collaboration and consensus among the 19 members, while maintaining agility [17][18] - There are ongoing debates about the appropriate level of Federal Reserve communication, balancing transparency with avoiding market speculation [19][20] - The Federal Reserve aims to improve public understanding of its actions and the dual mandate [21] Federal Reserve Independence & Public Perception - The Federal Reserve maintains its independence from political influence, focusing on its economic mandate [22] - The Federal Reserve's credibility is tied to fulfilling its monetary policy responsibilities [25] - Conversations with people in the district provide real-time feedback that informs policy discussions [27] - The Federal Reserve is focused on ensuring safe and sound banks, payment systems, and valuable research [28] - The Federal Reserve differentiates between the understanding of monetary policy by business/finance professionals and the general public, emphasizing the importance of communicating the dual mandate [29][30]