Fed's Powell: Seeing some softening, the economy is growing about 1.6% this year, slower than last year

*POWELL: FED DOESN'T LOOK AT ANY ONE ASSET PRICE, SAY IT'S WRONG *POWELL: IN AGGREGATE, HOUSEHOLDS ARE IN GOOD SHAPE FINANCIALLY FED’S POWELL: DOESN’T SEE EXCESSIVE LEVERAGE IN THE BANKING OR FINANCIAL SYSTEM; DESCRIBES THE SITUATION AS MIXED BUT NOT OVERLY TROUBLING FED’S POWELL: OVERALL ECONOMIC OUTLOOK NOT OVERLY TROUBLING; NOTES INTEREST RATES AREN’T A MAJOR FACTOR IN DATA CENTER INVESTMENT, BUT LOWER RATES WILL MARGINALLY SUPPORT DEMAND AND HIRING FED’S POWELL: UNLIKE THE DOT-COM ERA WHEN MANY WERE JUST IDEAS, TODAY’S COMPANIES HAVE REAL EARNINGS AND PROFITS — THIS IS NOT THE SAME KIND OF BUBBLE FED’S POWELL: CONSUMER SPENDING HAS BEEN A MAJOR SUPPORT FOR THE ECONOMY AND REMAINS A BIG DRIVER OF ACTIVITY; NOTES CONSUMER SPENDING PLAYS A MUCH LARGER ROLE THAN AI IN OVERALL ECONOMIC GROWTH

*POWELL: DRAMATIC REDUCTION IN LABOR SUPPLY AFFECTING JOB MARKET Fed's Powell: Demand for workers has fallen a little more than supply, and our tool supports demand. FED’S POWELL: RATES ARE NO LONGER ACCOMMODATIVE BUT ARE MEANINGFULLY LESS TIGHT THAN BEFORE, WHICH SHOULD HELP PREVENT FURTHER WEAKENING IN THE LABOR MARKET POWELL: IT TAKES A WHILE FOR TARIFFS TO GET TO CONSUMERS POWELL: COULD GET 2 OR 3 OR 4 MORE TENTHS OF INFLATION FROM TARIFFS, BUT SHOULD BE ONE-TIME

POWELL: WE'VE MOVED 150 BASIS POINTS, NOW IN RANGE WHERE MANY ESTIMATES OF NEUTRAL RATE LIVE POWELL: SOME PEOPLE ON COMMITTEE FEEL IT'S TIME TO TAKE A STEP BACK FED’S POWELL: SOME MEMBERS OF THE COMMITTEE BELIEVE IT’S TIME TO TAKE A STEP BACK; NOTES LABOR MARKET IS A MORE RELIABLE INDICATOR THAN SPENDING, WHICH IS CURRENTLY SHOWING A MORE DOWNBEAT SIGNAL *POWELL: GROWING CHORUS FEELS LIKE MAYBE FED SHOULD WAIT A CYCLE FED’S POWELL: YOU SAW THAT SENTIMENT IN SEPTEMBER AND IN RECENT REMARKS, AND CAN EXPECT IT TO BE REFLECTED IN THE MINUTES FROM TODAY’S MEETING