Fed Chair Jay Powell’s approach to cutting interest rates based on forecasts that inflation will continue moving lower could be summed up by the phrase “Trust, but verify.” He used the word “confident” or “confidence” 20 times at a press conference www.wsj.com/economy/central-banking/stung-by-past-mistakes-a-wary-fed-takes-its-time-e361a364?st=57v57wvnlafntfi

The Fed's catch-22: They don’t want to cut without more convincing evidence their policy stance is as restrictive as they think it is But some are uneasy it will be too late to avoid an employment downturn by the time they see the evidence No paywall: www.wsj.com/economy/central-banking/fed-meeting-interest-rate-preview-9eabab49?st=1h4dmxe93thf722&reflink=desktopwebshare_permalink

This table, from @NickTimiraos, is notable for several reasons, including the wide (0-100 bps) forecasts for #FederalReserve interest rate reductions in the context of universal agreement that the first cut, if we get one, would not come until September at the earliest. #economy pic.twitter.com/pW9mtKeaUC

Summary of Fed Chair Powell today: 1) He opened the door to a September rate cut (He said 1 or 2 are "plausible" in 2024) 2) Economy remains strong. "We're getting good results here" 3) Fed needs more good data on inflation 3) He thinks labor market is back to 2019 conditions pic.twitter.com/y0fGgfZzzB