Source: https://www.asiamarkets.com/stock-market-crash-at-jackson-hole/
It’s tipped Powell will reiterate concerns about inflation and hose down speculation of an early dovish policy pivot.
If Powell does do this, it could end a recent rally in growth stocks which has been fuelled by speculation that inflation has peaked and the Reserve Bank will prematurely end the tightening cycle.
“Mr. Powell is widely expected to argue against the arguably-premature loosening in financial conditions that has occurred since the July meeting, attempting to better align market forecasts with the central bank’s own terminal rate projections. We think Powell will also work to lower expectations for a “pivot” in early 2023.”
Leave a Reply