Fed Chair Powell Indicates Rate Cuts: ‘The Time Has Come for Policy to Adjust’

TRANSCRIPT:

POWELL: "Overall, the economy continues to grow at a solid piece, but the inflation and labor market data show an evolving situation. The upside risks to inflation have diminished, and the downside risks to employment have increased. As we highlighted in our last FOMC statement, we are attentive to the risks to both sides of our dual mandate. The time has come for policy to adjust. The direction of travel is clear, and the timing and pace of rate cuts will depend on incoming data, the evolving outlook, and the balance of risks. We will do everything we can to support a strong labor market as we make further progress toward price stability. With an appropriate dialing back of policy restraint, there is good reason to think that the economy will get back to 2% inflation, while maintaining a strong labor market."