Paul Krugman described Powell's Jackson Hole address as conventional and not indicative of an impending shift toward a more aggressive policy stance, according to ETNet.

Powell reiterated the Fed's objective of returning inflation to 2%, a stance markets interpreted as hawkish and supportive of bets on a potential September rate increase.

Krugman said Powell did not signal a rate cut or accommodate calls from President Trump for lower borrowing costs, instead sticking to standard inflation measures and suggesting a hawkish bias until price pressures ease.

ABN AMRO investment director Christophe Boucher said the remarks did not sufficiently convince him that policymakers will act. He is avoiding long-dated bonds, citing their sensitivity if markets worry the Fed cannot contain inflation. He also warned that if Powell does not back a September rate hike and inflation remains sticky, credibility concerns for the Fed could reemerge.