Fed Cuts Rates, Powell Signals December Move ‘Far From’ Certain

Federal Reserve Chair Jerome Powell cautioned investors against assuming the US central bank would follow its second straight interest-rate cut with another in December.

“A further reduction in the policy rate at the December meeting is not a foregone conclusion, far from it,” Powell said in the opening comments of his post-meeting press conference.

The remarks seemed aimed at reining in expectations in financial markets, where the probability of another quarter-point cut in December was firmly above 90% before he spoke.

Treasury yields and the dollar jumped, while stocks turned negative after Powell’s comments. Interest-rate swaps ...