- Fed Chair Powell to reiterate the case for slowing the pace of tightening at Jackson Hole – Goldman Sachs
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Fed Chair Powell to reiterate the case for slowing the pace of tightening at Jackson Hole – Goldman Sachs
Reuters shared a research note from Goldman Sachs during early Wednesday in Asia. The report said, “Goldman economists said the message will be the same as laid out in his July news conference and in the minutes of the July Federal Open Market Committee meeting released last week.”
Key quotes
He is likely to balance that message by stressing that the FOMC remains committed to bringing inflation down and that upcoming policy decisions will depend on incoming data.
Policymakers saw the easing of financial conditions since July as unhelpful to keeping the economy on a below-potential growth trajectory.
Goldman expects the FOMC to hike rates by 50 basis points (bps) in September and by 25 bp in November and December, less aggressive than the 75 basis-point hikes at each of its last two meetings.
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