Overview

• Jerome Powell said the Fed could consider lowering rates and stressed a cautious, data-driven approach as new tariffs show up in consumer prices.
• Powell noted that tariff effects are now visible in select categories, calling the inflation backdrop challenging.
• Market pricing points to a 25-basis-point reduction on September 17, with investors parsing Jackson Hole remarks for confirmation.
• President Donald Trump demanded Governor Lisa Cook resign and said he would fire her if she does not, while Cook rejected the allegations and refused to step down.
• A Justice Department letter signed by Ed Martin urged Powell to remove Cook following mortgage-fraud claims from FHFA head Bill Pulte, as internal Fed dissent grows with officials such as Stephen Miran, Michelle Bowman and Christopher Waller favoring faster cuts.