TechFlow, on August 24, according to Zhitong Caijing, Guotai Haitong Securities released a research report stating that Federal Reserve Chair Powell's speech at the 2025 Jackson Hole Global Central Bank Symposium showed dovish signals, potentially providing guidance for rate cuts in September. The report noted that Powell believes inflation risks are rising, and revisions to the U.S. monetary policy framework will make policy more flexible.
In detailed analysis, the report mentioned Powell's reassessment of the U.S. labor market and increasing employment risks, indicating significant downside risks to employment in the short term, which may prompt a shift in monetary policy. Guotai Haitong expects a 25 basis point rate cut in September, with a maximum of two rate cuts for the year, totaling approximately 50 basis points. The report emphasized that the pace of rate cuts will not be fast, primarily as a precautionary measure.
