Federal Reserve Chairman Powell delivered a speech at the Chicago Economic Club, with the following key points: 1. Impact of tariff policy: The uncertainty of the potential impact of the Trump administration's tariff policy is increasing, which may put the Federal Reserve in a dilemma between "controlling inflation" and "supporting economic growth". Tariffs will almost certainly lead to a temporary increase in inflation, and the inflation effect may also be more persistent. 2. Monetary policy stance: The Federal Reserve is in a favorable position to "wait for more clear signals" and does not need to immediately adjust its policy stance. 3. "Federal Reserve put options": denies the claim that the Federal Reserve will intervene to rescue the market during a major market downturn, stating that the market's expectation that the Federal Reserve will intervene to calm the volatility may be incorrect, and market volatility may continue for a period of time. 4. Inflation and employment targets: If there is a contradiction between inflation and employment targets, the Federal Reserve may prioritize controlling inflation. The labor market is stable and generally in a balanced state, and there is currently no conflict between the two major policy goals of full employment and price stability. According to forecast data, PCE inflation rose by 2.3% in March, with a core inflation rate of 2.6%. 5. Stablecoins and Banking Regulation: A stablecoin regulatory framework is needed, which is expected to relax regulation on the banking industry regarding cryptocurrency issues. 6. Banking system status: The capital status of the banking system is good and quite resilient. My personal opinion is that the United States should complete the implementation of Basel III Accord. 7. Independence of the Federal Reserve: The independence of the Federal Reserve is granted by US law, and the Trump administration cannot dismiss Federal Reserve officials without reason. The ruling of the US Supreme Court (catering to Trump's layoffs) does not apply to the Federal Reserve.