Former Fed Vice Chair: The Federal Reserve Is Expected to Lower Policy Rates Cautiously

According to a report by Jinse Finance, Pimco's global economic advisor and former Federal Reserve Vice Chairman Richard Clarida stated that the Fed appears likely to lower policy rates in the near future, though it will proceed with caution. Last week, Jerome Powell’s highly anticipated speech at the annual Jackson Hole symposium did not disappoint the markets, and the Fed’s release of a revised monetary policy framework also came as no surprise to Fed watchers. In the long term, the Fed reaffirmed its commitment to its dual mandate, while only making minor clarifications to its monetary policy framework.