A highly anticipated report on the job market Friday could show unemployment rising, potentially influencing how fast and how far the Federal Reserve will cut borrowing costs in the coming months.

Federal Reserve Chair Jerome Powell says the economy is in solid shape. “We intend to use our tools to keep it there,” he adds.

Federal Reserve Chair Jerome Powell said Monday that the recent half percentage point interest rate cut shouldn’t be interpreted as a sign that future moves will be as aggressive, in fact indicating the next moves will be smaller.

The appetite of Federal Reserve policymakers for another large interest-rate cut in November may come into better focus in the coming week as Jerome Powell addresses economists and the government issues new employment numbers.

The U.S. economy seems poised for a continued slowdown in inflation that will allow the Federal Reserve to cut its benchmark interest rate and "over time" reach a level that is no longer holding back activity,

Jerome H. Powell, chair of the Federal Reserve, said that inflation is down and unemployment up “significantly,” and that rates will move down “over time.”