Welcome to Seeking Outfas Wall Street Breakfast, where we cover the top news for investors every morgue.

Good morning. Today is Friday, August 23rd, and I'm your host Kim Khan filling in for Julie Morgan.

It's that time of year when Wyoming has a grip on Wall Street. Federal Reserve Chairman

Jay Powell speaks today at the Kansas City Fed's Jackson Hole Economic Policy Symposium.

His remarks are due at 10 a.m. Eastern time.

With markets widely expecting a rate cut at the FOMC September meeting, it's hard to imagine

that you won't provide commentary on the next

great decision.

He rarely telegraphes what the Fed is expecting to do, but he often provides insights

into what's expected if the economy evolves in the way policy makers expect. The balance has shifted more to the

labor part of the Fed's jobs inflation dual mandate and it's been a wild ride for the market since the

July payroll's report. As stocks and yields tumbled on August 5th, the odds of a 50

basis point rate cut next month jumped above 80% and many were calling for an

emergency cut. Things have settled down since then, with jobless claims still indicating resilience in the labor market.

On Thursday, the odds of a half-point cut fell below 25%, and that's where they stand now going into Powell

Speech. Jeffrey Rosengrants, portfolio manager at Shelton Capital Management, says Powell could

dodge expectations even closer to 25 and no more than 25 basis points, and it's possible that

Powell will talk a little bit of the path of future

cuts, especially if he feels that the markets are pricing in more cuts than the FOMC is likely to implement.

If the market's pricing in about four rate cuts for the rest of 2024, Powell may give a little

nod to perhaps two and a half cuts, he said.

But Cities, Andrew Hollenhorst, says the speech may put in place a framework for engaging in larger size cuts based on

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