In a recent farewell speech, the remarks made by Fed Chairman Powell drew widespread follow. As long-termists, we should pay more attention to the impact of his statements on the medium to long-term market, rather than short-term Fluctuation.

Powell's speech did not explicitly commit to a rate cut in September, but proposed more far-reaching institutional reforms. He announced that the Fed will modify its policy framework, expected to be completed by the end of summer. The core of this transformation is to abandon the long-held 2% fixed inflation target in favor of a more flexible inflation measure.

This shift means that the Fed will begin implementing a new monetary policy in the fourth quarter. The new policy framework may allow inflation rates to fluctuate within a certain range, rather than being strictly controlled at 2%. This flexibility provides greater room for future monetary policy operations.

It is worth noting that this policy adjustment may signal that the United States is entering a new monetary easing cycle. In the future, we may see a series of interest rate cuts and the implementation of quantitative easing policies.

However, investors should be cautious about this change. While it may stimulate the market in the short term, the long-term effects require in-depth analysis. Adjustments in monetary policy typically have complex effects on the prices of various assets, and investors need to comprehensively assess risks and opportunities.

Overall, Powell's speech marks a significant shift in the Fed's policy thinking, which could have far-reaching effects on global financial markets. We should closely follow the specific implementation of subsequent policies and their impacts on economic growth, inflation, and asset prices.