– Federal Reserve Chair Jerome Powell signaled that interest rate cuts could begin as early as September, provided the U.S. economy continues on its expected path.

– While keeping rates steady at 5.25%-5.50%, the Fed’s statement indicated a softening stance on inflation and a more balanced view of employment risks. Powell emphasized that rate cut decisions would be based solely on economic data and progress towards the 2% inflation target, not political considerations.

– This potential shift in monetary policy comes after more than two years of battling inflation and could have significant implications for the economy and the upcoming presidential election.