All three main U.S. equity indexes gapped up at the opening bell and bounced even higher after Federal Reserve Chair Jerome Powell suggested in his keynote speech at the Jackson Hole Economic Symposium that, all things considered, the Fed could cut interest rates as soon as September.
"In the near term," Powell said at Jackson Hole, "risks to inflation are tilted to the upside, and risks to employment to the downside." In his prepared remarks, Powell cited the still-emerging impacts of shorter-run factors such as tariffs and immigration policy as well as longer-term factors such as fiscal and regulatory policy.
