The Latest Breaking News from Jerome Powell

"The fact that the 30-year Treasury yield didn’t fall immediately is weird and worrying. It took very weak payrolls to finally do that."

"Obviously nobody wants a recession. But also in the context of Fed independence, they really don't want to get blamed for going into a downturn because that would impair their ability."

Weakening labour market and higher inflation has put Fed in a ‘difficult’ position even as economists expect a rate cut.

With U.S. jobless claims surging and labor data revised sharply lower, markets see Jerome Powell locked into a September Fed rate cut despite sticky inflation.

The U.S. economy experienced inflation acceleration in August, which was largely in line with market expectations, sparking a debate as President Donald Trump declared “No Inflation!!!” on social media. That claim was promptly challenged by economist Justin Wolfers, who asked, “No inflation? Says who?”.

The Trump administration on Thursday urged the D.C. Federal Appeals Court to allow the firing of Federal Reserve Governor Lisa Cook to take effect before the central bank’s interest rate-setting meeting next week.

The U.S. Federal Reserve’s main monetary policy tool is the control of short-term interest rates through the Fed Funds Rate. The market expects the Fed to reduce rates at the September FOMC meeting, but lowering short-term rates does not guarantee that longer-term interest rates will decline.

The chair of the Federal Reserve commands one of the most powerful positions in global finance. Whoever holds the role doesn't just steer U.S. monetary policy – but shapes the trajectory of the world's reserve currency, influencing everything from the cost of mortgages in Arizona, to the price of debt…

New CPI update shows prices increased 2.9% over the last year, but Wall Street optimistic Fed will cut interest rates