Fed Chair Powell Signals Patience on Rate Cuts Amid Strong Economy $SPY (+0,36%)

ECONOMIC OVERVIEW

- U.S. economic performance described as "remarkably good"

- Fed sees no urgency to cut interest rates given current economic signals

- Policy path remains flexible, not preset

- Economy's strength allows for careful approach to policy decisions

INFLATION OUTLOOK

- Core PCE expected to rise to 2.8% in October (up from 2.7% in September)

- Total PCE price index projected at 2.3% (up from 2.1% in September)

- Fed expects inflation rates to fluctuate within recent ranges

- Commitment to reaching 2% inflation goal remains firm

- Path to target described as "sometimes-bumpy"

LABOR MARKET

- Current state characterized as "solid"

- Market has cooled sufficiently to reduce inflationary pressures

- No longer considered a significant source of inflation concern

HOUSING SECTOR

- Fed closely monitoring gradual decline in housing services inflation

- Notes that housing services inflation has not yet fully normalized

POLICY STANCE

- Moving toward neutral policy position over time

- Emphasis on careful, data-dependent approach

- No predetermined timeline for policy adjustments

- Fed maintains commitment to "finishing the job" on inflation control