US Federal Reserve Chairman Jerome Powell delivered his eighth and final Jackson Hole Symposium speech on Friday, signaling a potential adjustment in the Fed’s policy stance amid rising downside risks to employment and economic growth.
Speaking at the annual economic forum in Wyoming, Powell said:
“With policy in restrictive territory, the baseline outlook and the shifting balance of risks may warrant adjusting our policy stance.”
Investors interpreted the remarks as a hint toward a 25 basis points rate cut at the upcoming FOMC meeting on September 16-17, 2025, as concerns grow over a possible US economic slowdown.
Following Powell’s speech, the US dollar fell 0.93%, with the Bloomberg US Dollar Spot Index trading at 97.705 by 12:13 p.m. EDT.
The Jackson Hole meeting is a key annual economic symposium, attracting central bankers, policymakers, and economists worldwide to discuss global economic trends. This year’s event is especially notable as it is Powell’s likely last appearance as Fed Chair, with his term ending in May 2026.
Background: In the July 2025 FOMC meeting, the Fed maintained benchmark interest rates at 4.25–4.5%, citing elevated inflation and the need for more economic data before making adjustments.
