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#Powell

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Summary of Jerome Powell's speech – October 29, 2025

The statements made by Federal Reserve Chair Jerome Powell exhibited a mix of caution and conflicting messages, indicating that inflation remains high even though the Fed has ended its tightening policy.

📊 Key points:
• The interest rate cut in December is not guaranteed, and no final decision has been made yet.
• The recent cut was made to manage risks, confirming that the current interest rate is appropriate.
• The U.S. economy is growing at a moderate pace, and the labor market is calm and stable, but it is not in a state of collapse.
• A government shutdown could lead to a lack of economic data and force the Fed to pause its decisions.
• Tariffs are raising prices on some goods, but their impact on inflation is expected to be temporary.
• He acknowledged that service inflation remains high and difficult to control.
• He pointed out that the field of artificial intelligence has become one of the drivers of investment and spending, denying comparisons to a “dot-com bubble.”
• He clarified that the Fed does not monitor the stock market but focuses on the economy and American families.
• Some committee members support a new cut in December, but the majority lean towards a temporary pause.

🧭 Conclusion:
Powell sent a dual message:
The Fed considers the tightening phase over, but at the same time is not in a hurry for a new cut.