{"id":167604,"date":"2025-08-22T18:14:20","date_gmt":"2025-08-22T15:14:20","guid":{"rendered":"https:\/\/cryptodnes.bg\/en\/?p=167604"},"modified":"2025-08-22T18:14:20","modified_gmt":"2025-08-22T15:14:20","slug":"powell-hints-at-rate-cuts-in-jackson-hole-speech-markets-rally","status":"publish","type":"post","link":"https:\/\/cryptodnes.bg\/en\/powell-hints-at-rate-cuts-in-jackson-hole-speech-markets-rally\/","title":{"rendered":"Powell Hints at Rate Cuts in Jackson Hole Speech, Markets Rally"},"content":{"rendered":"
At the 2023 gathering, Powell warned that interest rates would remain elevated \u201cfor some time.\u201d This year, his comments pointed instead to the possibility of rate cuts, igniting optimism across Wall Street and crypto markets alike.<\/p>\n
U.S. equities staged a strong rebound on Friday following Powell\u2019s remarks. The Dow Jones Industrial Average jumped 1.6%, S&P 500 gained 1.2%, while the Nasdaq Composite added nearly 1.3%.<\/p>\n
The prospect of cuts also rippled through digital assets, lifting Bitcoin and other cryptocurrencies that typically benefit from looser financial conditions. According to the CME FedWatch tool, traders are now assigning a 91% probability of a quarter-point reduction in September.<\/p>\n
Powell acknowledged that the Fed\u2019s current stance is already in restrictive territory, with interest rates weighing on credit and business activity. While unemployment remains near historic lows, he noted that the balance of risks to the Fed\u2019s dual mandate \u2014 price stability and full employment \u2014 has shifted.<\/p>\n
Changes in tax, trade, and immigration policy, Powell added, could further influence both growth and inflation in the months ahead, underscoring the need for flexibility.<\/p>\n