FED CHAIR POWELL: EVERY SUPPLY SHOCK CARRIES THE POTENTIAL TO LIFT BOTH INFLATION AND UNEMPLOYMENT, REQUIRING A BALANCED PURSUIT OF OUR GOALS THROUGH WHAT ARE INHERENTLY TOUGH JUDGMENT CALLS.

Federal Reserve Chair Jerome Powell stated that supply shocks can simultaneously increase inflation and unemployment, necessitating a careful balancing of monetary policy objectives. This commentary highlights the potential for heightened inflation expectations, which can affect interest rate differentials and influence capital flows. Markets particularly sensitive to these dynamics include equities and fixed income, as rising inflation could lead to tighter monetary policy and impact growth forecasts. Traders will be closely watching upcoming inflation data releases, particularly the Consumer Price Index (CPI), for indications of how supply chain issues are influencing price levels and the Fed's subsequent policy decisions.

HIGH-impact news is typically a market-moving event with multi-pip or multi-percent intraday reactions. Examples include central bank rate decisions, major CPI/NFP releases, geopolitical shocks, mega-cap earnings beats/misses, and regulatory announcements. Traders typically position-reduce or hedge ahead of scheduled HIGH-impact events, and follow the wire in real time to react to unscheduled ones (war headlines, central-bank emergency statements, surprise corporate actions). The Trading News Terminal squawk box reads every HIGH-impact headline aloud the moment it hits the wire — so active traders don't have to stare at the feed.

Active traders typically follow a three-step workflow when a market-moving headline hits the wire: (1) read the headline on the terminal or hear it on the squawk box; (2) assess whether the news is already priced in (by checking intraday price action in the seconds before) or whether it's genuinely new information; (3) act — either entering a breakout position, fading an overreaction, or tightening stops on existing trades. Trading News Terminal's Pro plan delivers wire-grade headlines within seconds of the source, with automatic audio squawk on every HIGH-impact event, so the read-assess-act cycle never waits on a refresh button.