On the eve of the Jackson Hole annual meeting, the remarks of Fed officials have drawn market attention. Recently, a senior Fed official shared an article from the Wall Street Journal that revealed the differences in views between the Boston Fed President and the Cleveland Fed President, highlighting the current policy dilemma faced within the Fed.

This move seems intended to send a signal to the market: there are intense discussions within the Fed regarding the future direction of policy. The core issue focuses on the timing of interest rate cuts, a decision that will directly affect the trajectory of economic development.

Currently, Fed policymakers are faced with a dilemma: if they cut interest rates too early, it could trigger a second wave of inflation; conversely, if they delay the rate cut too long, it could lead to a nonlinear decline in the labor market, causing a greater shock to the economy.

This internal divergence reflects the complexity of the current economic situation and hints at the uncertainty of future monetary policy direction. Market participants need to closely follow the upcoming Jackson Hole meeting for more clues about the Fed's policy stance.

In this context, investors and economists are actively assessing various possible scenarios and the potential impact these scenarios may have on financial markets and the real economy. In the coming months, every statement and action from the Fed will be under particularly close scrutiny, as they could have far-reaching effects on the global economic landscape.