Fed Chair Powell Expects Soft Landing For US Economy

According to PANews, Federal Reserve Chair Jerome Powell expressed optimism about the U.S. economy achieving a soft landing during his speech at the National Association for Business Economics (NABE) annual meeting in Nashville. Powell indicated that the process of lowering interest rates would be further 'readjusted' based on upcoming economic data. Powell stated, 'By appropriately adjusting our policy stance, the labor market can remain resilient in an environment of moderate economic growth and inflation steadily returning to target.' He emphasized that the overall economic conditions are favorable and that the Federal Reserve intends to use its tools to maintain this status. If the economy continues on its current trajectory, Powell anticipates two additional 25 basis point rate cuts this year. This outlook contrasts with market expectations, which have been betting on a more aggressive rate-cutting cycle.