FED WATCH | Powell Switches to “Patience Mode”
Fed Chair Jerome Powell made it clear: policy is now restrictive enough for the Federal Reserve to pause and observe. The next move won’t be rushed — it will be earned by the data.
What this really means for markets:
Hot CPI → Rate cuts get delayed, risk appetite cools
Cooling inflation → Fed stays patient, financial conditions stabilize
No preset path → Every decision is fully data-dependent
With inflation showing early signs of moderation, the Fed finally has breathing room. There’s no urgency to act, no pressure to overreact — just disciplined waiting.
From here on, CPI is the heartbeat of global markets. One print can change expectations, liquidity flows, and risk sentiment overnight.
Traders aren’t trading opinions anymore — they’re trading data.
