Federal Reserve Chair Jerome Powell will deliver a keenly watched address at the Kansas City Fed's annual economic symposium in Jackson Hole, Wyoming, on Friday, with markets anticipating signals of a September interest rate cut.

The speech will be parsed closely by investors weighing inflation against a softening labour market. The symposium has historically served as a venue for the Fed chair to preview shifts in monetary policy.

Powell speaks after July consumer prices rose to 3%, driven partly by tariff-related costs, while recent employment data pointed to slowing job growth. The Federal Open Market Committee meets in mid-September.

Economists at Goldman Sachs and JPMorgan expect Powell to acknowledge growing risks to employment while stressing that policy decisions remain data-dependent. Futures markets tracked by CME Group's FedWatch tool priced in a high probability of a quarter-point reduction at the September meeting.

A dovish tone would likely lift equities and pressure Treasury yields and the dollar. President Donald Trump has repeatedly pressed the central bank to lower rates, adding political weight to Powell's remarks as his term as chair nears its final months.

This year's symposium, themed around labour markets and structural economic shifts, gathers central bankers and academics from around the world. Powell's address is scheduled for the morning session, with market reaction expected immediately after.