Federal Reserve Chair Jerome Powell is scheduled to speak today at The Economic Club of Chicago, addressing key economic concerns amid heightened uncertainty.
**Key Points:**
* **Tariffs and Inflation:** Recent tariff policies have introduced volatility, leading to concerns about potential inflationary pressures. While some tariffs have been temporarily suspended, others, particularly those targeting China, remain in effect and are now apparently exceeding 200%??
* **Interest Rate Outlook:** March's CPI data indicates a downward trend in inflation, prompting market speculation about possible interest rate cuts later in the year. However, the Fed remains cautious, balancing the risks of cutting rates too soon against the potential need to support economic growth.
* **Economic Indicators:** Despite signs of slowing economic momentum, the labour market remains relatively stable. The Federal Open Market Committee's (FOMC) recent projections suggest two rate cuts in 2025, but ongoing trade tensions and geopolitical uncertainties may influence future decisions.
Powell's remarks today are anticipated to provide clarity on the Federal Reserve's approach to these challenges, offering insights into the future direction of U.S. monetary policy.
Full article: [Fed Chair Powell to deliver fresh economic view as tariffs inject uncertainty | Reuters](https://www.reuters.com/markets/us/fed-chair-powell-deliver-fresh-economic-view-tariffs-inject-uncertainty-2025-04-16/?utm_source=chatgpt.com)
What are we expecting to come from all this and what's the expectation for the market this evening? In particular I'm in gold at the moment (which nicely just hit a new ATH off the back of more dollar depreciation) so wondering if there'll be another pop later on or if it's a case of "buy the rumour sell the news"
