This week, the Federal Reserve’s annual Jackson Hole Economic Symposium, held from August 21 to 23, 2025, is the key event to watch. Fed Chair Jerome Powell is scheduled to speak on August 22 and is under significant pressure as markets look for guidance on the future direction of U.S. monetary policy.
Markets are anticipating a rate cut in September, driven by a combination of subdued inflation and weaker-than-expected labor market data released last week. These factors have heightened expectations for a more accommodative monetary policy stance, making Powell’s remarks especially important for financial markets and the broader economic outlook.