Jackson Hole Summit Takes Center Stage this Week
August 18, 2025
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The Federal Reserve’s (Fed) annual Jackson Hole Summit is set to begin Thursday, with Chair Powell’s speech on Friday once again headlining the event.1 As pressure continues to mount from the Trump administration for the Fed to lower interest rates, fixed-income investors will be looking for any clue during Powell’s speech about the likelihood of a September rate cut.
Mixed inflation signals last week — a favorable consumer price index (CPI) report followed by a higher-than-expected increase in the producer price index (PPI) — may keep U.S. monetary policymakers divided about how quickly to lower interest rates.2 However, the recent decline in short-term Treasury yields reflects increasing optimism that a September rate cut is in store.3
This week’s economic calendar is highlighted by fresh data on the state of the housing market, an economic sector continuing to face headwinds from elevated mortgage rates. Housing starts is set to be released on Tuesday, followed by existing home sales on Thursday.4
Sources:
1Yahoo! Finance – Rate cut watch: All eyes on Fed Chair Powell's final Jackson Hole speech; 8/18/25
2CNBC – Wholesale prices rose 0.9% in July, much more than expected; 8/14/25
3The Wall Street Journal – U.S. Treasury Yields Fall as Investors Weigh September Cut; 8/13/25
4MarketWatch – U.S. Economic Calendar; as of 8/18/25
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