US Federal Reserve Chairman Jerome Powell has indicated that a potential rate reduction could occur during September’s central bank meeting. However, he maintained a balanced stance, refraining from making definitive commitments about interest rate cuts.
His comments acknowledged mounting concerns about employment conditions whilst emphasising that inflation risks continue to persist. Delivering a speech at the Jackson Hole Economic Policy Symposium, Powell said, risks to inflation are tilted to the upside and risks to employment to the downside. The Federal Reserve, scheduled to convene its next policy meeting in mid-September, has maintained interest rates between 4.25 per cent and 4.50 per cent since its last decrease in December.
