From CNBC:

Federal Reserve Chair Jerome Powell vows to proceed cautiously with interest rate cuts, expressing confidence in the economy and cautioning against responding to political pressures. Powell stated in a “60 Minutes” interview that more evidence of inflation moving down to 2% is needed before cutting rates, despite markets betting on five quarter-point reductions.

The committee held its benchmark borrowing rate at 5.25%-5.5%, emphasizing that no cuts will be made until greater confidence in inflation reaching the 2% target is gained. Powell was optimistic about the economy, citing strong job growth and moderated inflation. However, he acknowledged that geopolitical events pose a potential risk.

Powell also discussed his previous prediction of “some pain” from the monetary tightening, saying that this scenario did not come to pass. He assured that political pressure will not influence the Fed’s decisions this presidential election year.

In summarizing these topics, Powell emphasized a gradual rate cutting approach amid an optimistic outlook for the U.S. economy, which stands strong despite ongoing geopolitical risks and the upcoming presidential election.



Read more: Powell insists the Fed will move carefully on rate cuts, with probably fewer than the market expects