Federal Reserve mouthpiece: Powell's attitude towards the labor market this week may indicate the future policy direction

Nick Timiraos, the "Federal Reserve mouthpiece", recently wrote: "This week's Fed rate cut is almost a foregone conclusion, and investors will focus on whether Powell will further his recent shift in stance. Investors will be closely watching one key message: will Powell and his colleagues set the total number of rate cuts this year at three, or maintain the expectations in June (when the job market seemed more robust and minority officials expected two rate cuts)? In a closely watched speech last month, Powell was more concerned about the job market than some colleagues were about inflation at the time. The question now is whether Powell will further strengthen this concern after the weak non-farm payrolls report in August? If he does so, it will confirm market expectations for "continued rate cuts in the coming meetings", but it may also need to overcome the concerns of some colleagues who are reluctant to commit to such a rapid policy shift due to doubts about the "neutral level of interest rates" and "whether interest rates should be adjusted to neutral levels".