Morgan Stanley sees Powell using Jackson Hole to temper bets on a 50bp September Fed cut. There are some thoughts he'll push back on a rate cut at all. Either choice could disappoint markets. The third choice is not to push back at all. That'll be a 'sell the fact' disappointment even ahead of the September meeting. -Morgan Stanley Wealth Management says the key focus in the coming weeks will be whether Federal Reserve officials push back on market expectations ahead of the September policy meeting.“If they think the market is wrong, they will go out there, because they’ve got a job to do to talk down the market,” the firm said, noting that policymakers opposed to a near-term cut are also expected to speak publicly.Attention is now turning to Fed Chair Jerome Powell’s high-profile address at the central bank’s annual Jackson Hole symposium on August 22, an event that has taken on the feel of a “quasi” policy meeting. Morgan Stanley expects Powell to keep the door open to a September cut, but to signal that a larger 50-basis-point move is unlikely, effectively taking that option off the table.The bank still anticipates the Fed will deliver a modest 25-basis-point reduction next month, with any pushback aimed at curbing expectations for a more aggressive half-point easing. ---Federal Reserve 2025 Jackson Hole Economic Policy Symposium will be held August 21-23 This article was written by Eamonn Sheridan at investinglive.com.