Welcome to See King Alpha's Wall Street breakfast, where we cover the top news for investors every morning.

Good morning. Today is Monday, February 5th. I'm Julie Morgan.

Fed Chair Jerome Powell points to later cuts in an interview on 60 minutes over the weekend.

Snap has reportedly started a new round of layoffs with more to come, and we have a Palantier earnings preview with big expectations from the commercial division.

Federal Reserve Chair Jerome Powell appeared on 60 minutes on Sunday and his comments are drawing some attention.

We'll focus on the fact that the odds of a rate cut in March have gone from 40% at the end of Friday to 15% following his comments.

So what did he say to cause such a stir?

Well, he said that the labor market is strong 3.7% unemployment and with a strong economy

they feel that they can approach the question of when to begin to reduce interest

rates carefully. He went on to say that if the Fed cut rates too soon

inflation would settle above the Fed's 2% goal and if it moves too late that could

lead to a recession. He added that the Central Bankers would like to continue to see more evidence that inflation is moving down

before they move to loosen policy.

This really echoes the comments he made at his press conference on Wednesday when the Fed kept its policy rate at 5.5 percent.

Powell admitted that it would have been better if the Fed had tightened policy sooner when inflation

surged in 2021.

He was also clear to point out that the easing of inflation does not mean the overall price level will come down.

While Powell has said he expects the Fed to cut rates later this year,

of course it's a presidential election year, he said they are not concerned with politics.

Rather, the Central Bank is focused on economic data.

Snap laid off dozens of employees on Friday, according to a report from Business Insider.

The report cited two people familiar with the company.

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