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Traders Brace for Powell's Key Speech Amid Trade Tensions

5/8/2025

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Story summary
  • Traders are keenly awaiting Jerome Powell's May 7 speech, particularly regarding "tariffs" amid escalating trade tensions with China.
  • Speculations suggest a 6% chance of discussing eggs, 8% for Trump, and 15% for fiscal policy defaults.
  • Any change in Powell's tone may significantly influence market expectations in light of recession and geopolitical uncertainties.