Powell Warns of Market Fragility Amid Inflation and Geopolitical Risks

Jerome Powell warned in April that rising energy prices and Middle East tensions increase economic uncertainty, prompting a shift from expected rate cuts to steady rates. The S&P 500 and Nasdaq rose 12% and 18% in April despite geopolitical risks, driven by strong AI-linked tech earnings. Powell emphasized inflation could reaccelerate and long-term economic impacts remain unclear.