Recently, Fed Chairman Powell's speech at the Jackson Hole annual meeting triggered a long positions reaction on Wall Street. Financial professionals generally believe that this speech hinted that the Fed may take interest rate cuts in September.

Powell emphasized that future monetary policy will be primarily based on economic data. He specifically mentioned the challenges facing the labor market and that inflation expectations remain stable. These statements were interpreted by the market as the Fed taking a cautious stance on economic conditions, paving the way for potential interest rate cuts.

David Laut, an analyst at Abound Financial, stated that although an employment report will be released before the September Federal Open Market Committee (FOMC) meeting, the Fed seems to have enough data to support a rate cut decision in September.

This potential policy shift has sparked optimism in the market. Investors believe that if the Fed does indeed cut interest rates in September, it will have a positive impact on the stock market and other risk assets. However, some experts also remind that the actual policy decision will need to wait for more economic data to support it.

Overall, Powell's speech injected new momentum into the market, but investors still need to closely monitor economic indicators and statements from Fed officials in the coming weeks to more accurately predict the outcome of the September meeting.