Fed’s Powell Leaves September Rate Cut Undecided, Markets React
Federal Reserve Chair Jerome Powell declined to signal a September rate cut during his press conference, stating no decisions had been made in advance. Traders anticipating clearer guidance were left disappointed, triggering an immediate market reversal as stocks relinquished gains.
Two dissenting voices emerged from the Fed's decision to hold rates steady—Governors Michelle Bowman and Christopher Waller—marking the first dual dissent in over 30 years. Both Trump-era appointees, Bowman and Waller broke ranks amid evolving inflation and labor data considerations.