"Fed mouthpiece": Powell hints that the interest rate pause will be longer

Federal Reserve spokesman Nick Timiraos recently issued a statement commenting on Federal Reserve Chairman Powell's speech. Powell hinted that he was pleased with the decline in inflation this summer and that the Federal Reserve was unlikely to raise interest rates again unless there was clear evidence that increased economic activity would jeopardize inflation progress. Powell's comments closely mirror recent comments from other Fed officials, who have signaled a readiness to keep interest rates on hold at the next meeting. That's partly because a rise in long-term yields over the past month could slow economic growth, effectively displacing a rate hike if yields rise. When describing whether monetary policy will tighten again, Powell twice used the word "may" instead of the more hawkish word "will": "Evidence of a strengthening economy may put the progress of further inflationary pullback at risk or become a Reasons for further tightening of policy.” (Golden Ten)