Federal Reserve Chair Jerome Powell signaled Friday that interest rate cuts may soon be on the table as the U.S. labor market shows increasing weakness, CNN reported.
Speaking at the annual Jackson Hole economic symposium, Powell warned of “downside risks to employment” and said the Fed may need to adjust its policy stance after eight months of holding rates steady.
Speech by Chair Powell on the economic outlook and framework review at an economic policy symposium sponsored by @KansasCityFed: https://t.co/rmcHrQFSvf
— Federal Reserve (@federalreserve) August 22, 2025
Watch live: https://t.co/xOEbfu9h6K
Learn more about Chair Powell: https://t.co/3kYVCuudso pic.twitter.com/1S4QrbydO4
Powell’s remarks mark his final Jackson Hole address as Fed chair, with his term ending in May 2026. His comments come amid intense pressure from President Donald Trump, who has repeatedly demanded sharp rate cuts while seeking to reshape the central bank.
The administration has already nominated Stephen Miran to the Fed’s board and is pressing investigations into Democratic-appointed Fed Governor Lisa Cook.
Federal Reserve Chair Jerome Powell carefully opened the door to an interest-rate cut in September, pointing to rising risks for the labor market even as worries over inflation remain https://t.co/zWGg82biRH
— Bloomberg (@business) August 22, 2025
Despite the political attacks, Powell stressed that the Fed’s decisions will remain guided solely by economic data, not partisan demands.
