Friday could be a big day for Fed Watchers as Chair Jay Powell will address the annual gathering of Fed officials and economists at Jackson Hole, Wyoming. The confab is organized each year by the Kansas City Fed. Chair Powell is scheduled to speak Friday at 10:00 EDT.
Chair Powell has done a good job of telegraphing policy putting a great deal of focus on his remarks. As is often the case there is no FOMC meeting in August; this may be the last time Powell speaks before the next FOMC meeting September 20/21. At his post-decision press conference in July he put great emphasis on incoming data and he may review the numbers that have come in for July, including the CPI and his views on whether or not inflation has peaked.
In the past few weeks several Fed officials have been speaking out and there seems to be a signal that more interest rate increases are coming, but there does appear to be increasing speculation that the September meeting may see a step back and a 50bps move rather than a third 75bps increase. Powell’s comments will obviously be scrutinized for any clues as to his thinking on the next move.