Since last fall, the Federal Reserve has held interest rates steady as it continued fighting to get inflation closer to its 2% target.
Alongside the Federal Open Market Committee's announcement to hold interest rates steady during its most recent meeting in June, the Summary of Economic Projections penciled in just one interest rate cut for 2024.
However, Powell said during the June press conference that there was still time to change that projection — and that a rate cut in September is "plausible."
"It's going to be the totality of the data, what's happening in the labor market, what's happening with the balance of risks, what's happening with the forecast, what's happening with growth," he said.
CME FedWatch, which estimates market assessments of the probability of interest rate cuts, projects a 93% chance interest rates will remain steady in July and a 72% chance rates will be cut by September.
Persons:
—, Jerome Powell, Julie Su, Su, Powell, Jan Hatzius, Goldman Sachs, Hatzius
Organizations:
Service, Federal Reserve, Business, of Labor Statistics, Fed, CNBC
Locations:
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