Powell Not Cutting Rates

Hey everyone, quick market update!

Fed Chair Jerome Powell just confirmed what many of us suspected—no rate cut this time around. Inflation is cooling, but not fast enough for the Fed to make a move just yet. Powell emphasized the need for ‘greater confidence’ that inflation is sustainably heading toward that 2% target.

So, what does this mean for a possible September rate cut?

Well, the markets are still pricing in a strong chance of a cut then, especially if inflation data continues trending in the right direction. But the Fed is walking a tightrope—cut too soon, and risk inflation flaring back up; wait too long, and economic momentum could stall.

Bottom line? Stay tuned. Rates are holding steady for now and so are Orange County values, but September could bring a shift—especially if jobs and inflation data cooperate.