“The Fed’s Strategy: A rate cut is in sight”
Powell Announces: Federal Reserve Chairman Powell revealed plans to cut interest rates next year.
Optimistic outlook: Powell expressed cautious optimism about easing the fight against inflation in 2024.
Rates unchanged: The decision to keep rates unchanged follows a historic rise in interest rates.
Inflation update: Inflation has eased but remains above the Fed’s target.
Economic uncertainty: Powell acknowledged that despite the positive indicators, there is still uncertainty about the economic development.
The economy is resilient: Strong employment and strong consumer spending reflect the economy's resilience.
Impact of rising interest rates: Raising interest rates affects the housing market and discourages major corporate investments.
GDP Growth: GDP grew significantly, easing fears of a recession.
Commitment to target: Powell emphasized his commitment to lowering inflation to his 2% target.