|Fed chairman Jay Powell|
In prepared testimony before the House Financial Services Committee, Federal Reserve Board Chairman Jay Powell said business investments across the U.S. have slowed “notably” recently as uncertainties over the economic outlook linger.
“Crosscurrents have reemerged,” Powell said. “Many FOMC participants saw that the case for a somewhat more accommodative monetary policy had strengthened. Since then, based on incoming data and other developments, it appears that uncertainties around trade tensions and concerns about the strength of the global economy continue to weigh on the U.S. economic outlook.”
This is the strongest signal yet by a member of the Federal Reserve Board that an interest rate cut is coming.
The next meeting of the Federal Reserve Open Market Committee, the monetary and interest rate policy committee of the Fed, is set for July 30-31.
It appears President Trump’s jawboning against the Fed is working.
Hug your gold coins tonight.
More analysis at the EPJ Daily Alert.