According to CCTV News, on August 22 local time, Federal Reserve Chair Jerome Powell stated at the Jackson Hole Global Central Bank Annual Meeting that the current situation suggests downside risks to employment growth, and changes in the risk balance may require policy adjustments. Powell said the Fed is open to interest rate cuts.

Powell noted that the U.S. economy has shown resilience amid high tariffs and tighter immigration policies, but the labor market and economic growth have significantly slowed. He indicated that although inflation remains a concern, rising risks in the job market could lead the Fed to cut rates in September. He emphasized that against the backdrop of maintaining tight policies, changes in the economic outlook and risks may necessitate adjustments to the policy stance.

Regarding inflation, Powell pointed out that tariffs have pushed up prices of some goods, with core PCE prices rising 2.9% year-on-year in July. He stressed that the tariff effect might be a one-time shock, but if inflation expectations are pushed higher, the risks cannot be ignored.

On policy stance, Powell stated that the Fed’s interest rate level is closer to "neutral" compared to last year and that risks will be carefully assessed in the future to ensure that one-time price increases do not evolve into long-term inflation issues. He reiterated that the Fed will always balance its dual mandate of achieving maximum employment and price stability.

That same day, the Fed also released a revised "Statement on Longer-Run Goals and Monetary Policy Strategy." Key revisions include abandoning "average inflation targeting" and returning to flexible inflation targeting.