Fed Chair Powell (Q&A) says he never thought he'd see this many years of high productivity; says generative AI will feed into that; not yet sure if we are seeing effects of AI in productivity

Fed Chair Powell's comments on productivity and generative AI suggest a recognition of transformative economic potential, though he remains uncertain about its immediate effects. This statement is likely to be viewed as dovish, implying a cautious approach to monetary policy while considering longer-term growth factors. Traders should monitor how this perspective influences the Fed's rate path and overall market sentiment, especially in FX and risk-sensitive assets.