Fed Chair Powell Says No Guidance On Rate Cut Pace, Dependent On Economy; Seeing Broader Disinflation, Inflation Data Better Than Last Year; Current Disinflation Quality Higher But Needs More Data; Growing Confidence With More Good Data; Economy Not Overheating, Labor Market Softening
Portfolio Pulse from Benzinga Newsdesk
Fed Chair Powell stated that there is no specific guidance on the pace of rate cuts, emphasizing that decisions will depend on economic data. He noted broader disinflation and better inflation data compared to last year, but stressed the need for more data to confirm trends. Powell expressed growing confidence with positive data, mentioning that the economy is not overheating and the labor market is softening.

July 31, 2024 | 6:53 pm
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NEUTRAL IMPACT
The SPDR S&P 500 ETF (SPY) may experience short-term volatility due to Fed Chair Powell's comments on rate cuts being data-dependent. Positive disinflation and inflation data could support market sentiment, but the need for more data introduces uncertainty.
Powell's comments suggest a cautious approach to rate cuts, which could lead to market uncertainty. However, positive disinflation and inflation data may support market sentiment, balancing the impact.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80