Watch Live: Fed Chair Powell Explains How He Found The "Stag" & The "Flation"

Watch Live: Fed Chair Powell Explains How He Found The "Stag" & The "Flation"

Having met the expectations of leaving rates unchanged, and confirming their 'patience', the big question is - can Jay Powell avoid all the traps being set for him in the press conference?

Growth expectations are tumbling - so cut, right?

But Trump wants lower rates... so they can't do what he wants.

Inflation data has been wildly noisy (and expectations are soaring) - so hike rates, right?

But Dems would love The Fed to hike rates now and kill Trump's economy before we get to the 'good stuff'... so they can't do that.

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...(and will Powell shrug off the insane partisanship seen in the UMich inflation data that he once praised so highly)

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It appears that Fed Chair Powell has found the "stag" and the "flation" after all, given the adjustments to The Fed's forecast:

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Fiscal policy uncertainty is extremely high - so cut rates to offset that tension, right?

But that would mean an implicit 'defense' of these policy moves... and Lizzy Warren will have a cow.

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Of course, The Fed has already front-run Trump's policy prescription by shifting its dots (lower) and PCE forecast (higher) on tariff fears. The timing is right though for a Powell Put save by talking up the tapering of QT...

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All the shifts in the dots are hawkish... will Powell acknowledge that?

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Watch The Fed Chair hold his press conference here live (due to start at 1430ET):

https://cms.zerohedge.com/users/tyler-durden

Wed, 03/19/2025 - 14:25

https://www.zerohedge.com/markets/watch-live-will-fed-chair-unleash-powell-put