Powell's Final Jackson Hole Speech to Shape Fed's Policy Path

Jerome Powell, chair of the U.S. Federal Reserve, is scheduled to deliver his final Jackson Hole Economic Symposium speech on Friday, August 22, 2025, at 17:00 UTC+3 at Jackson Lake Lodge in Wyoming [2]. This will be his last in-person address at the event since he was appointed to the position by Donald Trump in 2017 [3]. The speech, titled “Economic Outlook and Framework Review,” is expected to provide key guidance on the Fed’s future monetary policy, including whether it will continue its interest rate-cutting trajectory [1].

Powell’s past Jackson Hole speeches have historically offered critical clues about the Fed’s direction. In 2018, he outlined a path of gradual rate hikes, which the Fed subsequently executed four times. The following year, he signaled a shift toward rate cuts amid concerns over global economic growth, and the Fed cut rates three times. In 2020, Powell introduced the Fed’s new monetary policy framework, emphasizing a 2% average inflation target and stronger employment goals [3]. In 2021, he described inflation as temporary—an assertion later proven inaccurate as inflation remained elevated. In 2022, he acknowledged the need for “pain” to bring inflation under control, and the Fed aggressively raised rates. In 2023, the Fed paused rate hikes, and in 2024, Powell announced that rate cuts had begun, with the Fed reducing the policy rate by 50 basis points in September [3].

This year’s speech will be closely watched for any indication of whether the Fed will continue to cut rates, pause, or adopt a new policy stance in response to evolving economic conditions. With Powell’s term as Fed chair set to expire in May 2026 [5], his remarks could also carry implications for the broader political and economic landscape. Both Wall Street and the White House are keenly attentive, as Powell’s words may influence market expectations and policy debates for months to come [4].

Given the historical significance of Powell’s Jackson Hole speeches, this year’s address is expected to remain a pivotal moment for global financial markets. Investors and policymakers alike will scrutinize his tone and messaging for any signs of policy shifts or strategic recalibrations [6].

Source: [1]title1.............................(https://www.cnbc.com/2025/08/21/powell-to-deliver-jackson-hole-speech-friday-what-wall-street-expects.html) [2]title2.............................(https://www.bitcoinsistemi.com/today-is-critical-fed-chair-jerome-powell-to-speak-at-jackson-hole-heres-the-time-and-what-happened-after-his-previous-speeches/) [3]title3.............................(https://www.bitcoinsistemi.com/today-is-critical-fed-chair-jerome-powell-to-speak-at-jackson-hole-heres-the-time-and-what-happened-after-his-previous-speeches/) [4]title4.............................(https://www.pressdemocrat.com/article/news/powell-jackson-hole/) [5]title5.............................(https://finance.yahoo.com/news/powell-set-for-final-jackson-hole-speech-as-policy-politics-raise-questions-that-will-outlast-his-tenure-174606990.html) [6]title6.............................(https://www.kiplinger.com/investing/economy/what-will-powell-say-in-his-jackson-hole-speech)