Core Viewpoint - The focus of the Federal Reserve's policy may be shifting from inflation to employment, with the upcoming Jackson Hole meeting being a key opportunity for Chairman Powell to signal this change [1][2][5]. Group 1: Jackson Hole Meeting - The Jackson Hole central bank meeting is scheduled for August 21-23 this year [3]. - Historically, this meeting has been a platform for significant policy announcements by the Fed Chair, including Powell's "Volcker moment" in August 2022, which set the tone for aggressive rate hikes [6]. Group 2: Internal Disagreements within the Fed - There is a clear division within the Federal Reserve, with a dovish camp led by officials like Williams and Hammack, who are more concerned about inflation, and a hawkish camp represented by Kashkari and Daly, who focus on economic downturn risks and labor market slowdowns [4]. - The increasing internal disagreements suggest that market expectations are leaning towards Powell providing clear signals at the Jackson Hole meeting [5][6]. Group 3: Powell's Influence - Despite the internal divisions, Powell's communication remains dominant, as evidenced by a recent 9:2 voting outcome in the committee [6]. - Powell's upcoming speech at the Jackson Hole meeting is expected to be crucial, especially if the Fed's focus indeed shifts towards employment [6].