Powell: It is impossible to say whether the July rate cut is premature, and any meeting is not ruled out

On July 1, at the European Economic Forum in Sintra, Portugal, when asked whether the Federal Reserve would ease monetary policy further if tariffs did not trigger inflation, Federal Reserve Chairperson Jerome Powell said: "After evaluating the size of the tariffs, we decided to hold off." He expects inflation to rise slightly this summer due to tariffs, so it is the most prudent for the Federal Reserve to choose to be patient and wait while the economy remains sound. Powell said it was impossible to say whether a rate cut in July was premature, but stressed that "no meeting would be ruled out in advance" and that the next move would depend entirely on the performance of the data.