"Powell's Key Speech: Anticipating Impact on Mortgage Rates, Fair Lending, and Bond Yields"

Federal Reserve Chair Jerome Powell is set to deliver a key policy address on Thursday, aiming to convince markets that the central bank remains committed to tackling inflation but may need to ease its force. With improving inflation numbers and surging Treasury yields, Powell's speech will provide confirmation and clarification on the Fed's view of current conditions and longer-term trends. The message is expected to focus on the need to keep rates high to bring down inflation, while also emphasizing a data-dependent approach and caution against complacency. The Fed's decision to hold rates in September and rising yields will likely be addressed, with expectations of a wait-and-see approach and potential rate cuts in 2024.