Wash: Today's Resolution is Not a "Pause," Just the Beginning of Policy Adjustment

July 30, Federal Reserve Chair Powell stated in a press conference that this interest rate decision will not be described as a "pause." If the market interprets it as a pause, it is the financial market's own judgment. "Today's decision is just the beginning of the story, not the end."

Powell stated that the Fed is closely monitoring various shocks' impact on potential inflation and evaluating whether their impact is expanding. The current focus is on a thorough review of the economic situation. He emphasized that the current U.S. labor market is performing well, achieving "quite well" in full employment, and the dual mandate does not involve conflicting goals, with no mission being overlooked.

Regarding the upcoming Jackson Hole central bank symposium, Powell stated that he has not started preparing his speech yet. He hopes to have discussions on significant policy issues and will further study related matters with working groups before the meeting.