BREAKING: FED Chairman Jerome Powell Speaking! Here's What He Said at the Critical Turning Point

Federal Reserve Chairman Jerome Powell is speaking at the 2025 US Monetary Policy Forum at the University of Chicago Booth School of Business in New York. Here are the most important headlines from Powell's critical speech:

• There is no need for the FED to rush to adjust interest rates. The labor market is strong and generally in a balanced situation. Although the inflation level is slightly above the 2% target, it is gradually approaching the target.
• The uncertainty about the policies of the Trump administration and their economic impacts continues to remain high. Some recent inflation expectation surveys and market indicators have increased due to customs duties.
• Most long-term inflation expectations remain stable and consistent with the 2% target.
• The Fed is fully prepared to wait for a clearer situation.
• Trade, migration, financial, and regulatory policies have the most significant impact on the economy and monetary policy.
• The Fed's policy is not fixed; if progress in inflation slows, policy could remain restrictive or if the labor market unexpectedly weakens or inflation unexpectedly falls, policy could be eased.
• Despite high uncertainty, the US economy is in good shape.
• The path to reaching the 2% inflation target will be full of ups and downs; the FED will not overreact to one or two economic data points that are higher or lower than expected.
• The latest indicators point to a possible slowdown in consumer spending and increasing uncertainty; we will see how these developments will affect future spending and investments.
• Fed Chairman Powell reiterated that the 2% inflation target is not the focus of the Fed's framework review; the results of the review will be announced at the end of the summer.
• After Powell said there was no need for the FED to rush into action, the US short-term interest rate futures maintained their expectations that the FED will cut interest rates in June and expects three rate cuts in total by 2025.