00:00 Speaker A
Yeah, Josh, I think the the the major difference here was that the last time Jay Powell talked about the new administration and their policy, talked about the totality of it and how we had to make sure we thought about less regulation and perhaps lower taxes. And none of that sort of came through in his in his speech today. As matter of fact, the fact that he pointed out that the trade policies actually landed at a place that was much higher than they anticipated would likely cause more inflation and slow economic growth. I think caught people by surprise, especially on the heels of Governor Waller’s more dovish take earlier last week. So I think you’ve got a combination of getting sort of caught by surprise on a day where the market was heading pretty significantly south before he even started to talk.
01:57 Speaker B
Yeah, I I I agree with you there. I think the market didn’t expect what Fed Sheriff Powell had to say and we hoped for a little bit more of a dovish sort of undertone to his speech. But how do you piece this together now with tariffs and what we have going on for the next 90 days, the uncertainty that we already have in the market with the idea that we might not have that fed put that we were hoping for there.
02:49 Speaker A
Yeah, you know, I think that the the chair Powell did a pretty good job of describing what a conundrum we’d be in if in fact these tariffs remain at the higher level that they were announced at for an extended period of time. So I think now that we have to start looking forward to some announcements of deals. I think that the the White House has to post a couple victories here and and I think they’re going to start to leak out that process. I we heard some of that from Commerce Secretary today, but I think it’s it’s a function of to get stability back in markets and and to get some confidence back in markets. We need to hear that we cut a deal with China or India or Mexico and Canada, etc. And I think that would start the ball rolling towards their their being an exit ramp to this trade war. Right now we’re just not there yet. So I think we’re, you know, shifting we’re downshifting back to a place where uncertainty is taking over again. And I think the only thing that really takes that away a bit would be to see a couple of trade deals being cut in short order, meaning days, not weeks.
