At Friday's Jackson Hole meeting, Powell said: the timing of the Fed's monetary policy adjustment has come and is not seeking further cooling of the labor market. The US labor market cooling is "obvious" and is no longer overheated, which increases confidence in inflation returning to 2%.

The market interpreted it as Powell's strongest signal to date for interest rate cuts, aiming to take action to avoid further weakness in the US labor market.
The dollar fell below 101, falling to 100.6, and the dollar index fell for the fourth consecutive week, the longest fall since April 2023.