Federal Reserve Chair Jerome Powell enters his final Jackson Hole appearance facing a difficult balancing act.
In past years, Powell used the Fed’s annual Wyoming conference to outline aggressive inflation-fighting policies and later to signal support for the labor market. Now, with inflation still hovering above target and signs of a cooling job market, he must decide which risk weighs heavier.
Investors and the Trump administration are betting on rate cuts at the Fed’s September meeting, but Powell’s messaging could prove just as critical as the decision itself. Analysts say his remarks may determine whether markets expect a single cut, a series of cuts, or continued caution.
Powell’s tenure has spanned historic challenges from the COVID-19 pandemic to record rate hikes and political pressure. His Jackson Hole speech is expected to shape not only his legacy but also the Fed’s path forward amid uncertainty over growth, inflation, and employment.
