Analyst: Don't expect Washington to provide forward guidance tonight.
Tonight, investors will once again hear from Federal Reserve Chairman Powell, marking another public speech following his first appearance at the Fed policy meeting two weeks ago. However, investors should not expect him to provide forward-looking guidance on future monetary policy, as Powell has made it clear that he hopes to reduce the use of forward guidance and believes it does not benefit the Fed in practice. However, he may offer some insights on how to assess inflation and the economy. Krishna Guha, head of strategy and economics at Evercore ISI, said, "We will focus on how he outlines the inflation outlook and its drivers, including falling oil prices, easing inflation expectations, other commodities, a strong dollar, and the cost spillover effects of artificial intelligence."
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