How will stocks perform when the Fed chair speaks at Jackson Hole? Here's what history tells us.

Investors are waiting for Federal Reserve Chair Kevin Warsh’s first Jackson Hole speech since taking charge, scheduled for Friday. The Federal Reserve Bank of Kansas City hosts the annual economic symposium where major central bankers often shape expectations for monetary policy as fall approaches. For the past three years, Wall Street generally cheered the messages, but this year may be different due to Warsh’s approach of listening to markets while providing less forward guidance, and his focus on returning inflation to the Fed’s 2% target without many details. Since a record high two weeks ago, the S&P 500 has been choppy and bonds have reacted sharply after prior briefings. The article points to 2022, when Jerome Powell’s Jackson Hole remarks coincided with a 3.4% one-day drop in the S&P 500.