Powell may officially announce the start of the rate cut cycle in September tonight

ChainCatcher news, Powell will deliver a speech on the economic outlook tonight at 22:00 during the Jackson Hole central bank annual meeting. The market is confident that he will "officially announce" the start of the rate cut cycle in September, with the focus shifting to whether the option of a 50 basis point cut is still on the table, while Powell may remain tight-lipped about it. There may be significant market volatility at that time, and investors are advised to pay attention to the related risks.

Powell's remarks will be scrutinized for any hints on how the Federal Reserve Chairman views the economy after the employment report came in weaker than expected and inflation continued to slow. The market generally expects the Federal Reserve to cut rates at its next meeting on September 17-18, but there are some differences regarding the extent of the cut. While most economists anticipate a 25 basis point cut, some forecasting institutions, including Citigroup and JPMorgan, expect the Federal Reserve to cut by 50 basis points. Wall Street is betting that Federal Reserve Chairman Powell will confirm the rate cut at the annual central bank meeting in Jackson Hole, Wyoming. The market debate has shifted from "Will there be a rate cut?" to "How much will the rate cut be?" (Jin Shi)