Powell reaffirmed that the Fed's interest rate policy has no pre-determined path

Federal Reserve Chair Powell reaffirmed that the Fed will formulate policies in a "one meeting, one discussion" manner based on the evolution of the economic outlook and risk balance, rather than following a pre-determined path.

Xinhua News Agency reported that Powell said in his speech at the annual meeting of the Association for Business Economics in Philadelphia on Tuesday (October 14) that there is no risk-free path for the Federal Reserve's interest rate policy due to the need to balance the contradiction between employment and inflation targets.

In response to the absence of official data reports caused by the federal government's "shutdown", Powell said that the Federal Reserve has its own contacts and data sources to monitor the health of the US economy.

He said, "Based on the data we have, it's fair to say that the employment and inflation outlook doesn't seem to have changed much since the September meeting."

The Federal Open Market Committee, the decision-making body of the Federal Reserve, will hold its next meeting from October 28th to 29th. The market generally expects that, given the continued weakness of the US job market, the Federal Reserve will cut interest rates by another 25 basis points following the announcement of a 25 basis point rate cut on September 17.