Powell's speech maintains hawkish tone

The US dollar continues to strengthen, gold rebounded stably

On Thursday (November 9th), as Federal Reserve Chairman Jerome Powell maintained his tightening tendency, he stated that although inflation has decreased, the central bank still lacks confidence in controlling it. Powell's hawkish speech helped the US dollar and US bond yields rise, but the impact on gold was not significant, with gold closing slightly higher.

Powell delivered a speech during a group discussion at the International Monetary Fund in Washington, D.C. Powell stated that the Federal Open Market Committee (FOMC) is committed to achieving a sufficiently restrictive monetary policy stance to reduce inflation to 2% over time; We do not have confidence that we have achieved such a position: "Improving supply issues in the economy will help reduce inflation from its 40 year high in June 2022 to 2020; However, he stated that the improvement in economic conditions has done everything possible to reduce inflation. "Looking ahead, a significant portion of the progress made in reducing inflation may have to come from tightening monetary policies that suppress aggregate demand growth.