WSJ "Powell keeps the door open for a rate cut in September, but don't expect sharp easing"

Following Jerome Powell, Chair of the Fed, delivering remarks at the Jackson Hole Meeting, expectations for a rate cut have risen, but there is pointed out not to expect a sharp rate cut.

On the 24th (local time), The Wall Street Journal (WSJ) reported, "Chair Powell keeps the door open for a rate cut next month, but drew a line on expectations for sharp easing," adding, "you should not expect any drastic easing."

The media continued, "Powell’s comments reflect the delicate economic environment. The labor market, despite low unemployment, is showing unusual signs of weakness, and inflationary pressures from tariff hikes are just now beginning to ripple through the broader economy," it added.

Meanwhile, last week's remarks by Chair Powell are being interpreted as the first indications of a rate cut this year. As a result, the Fed's two remaining meetings this year (October, December) are drawing attention to whether there could be further rate cuts.