Recently, Fed Chairman Powell's speech has attracted widespread follow in the market. His remarks mainly covered two aspects: first, the routine speech, which deeply explored the current state of the Fed's balance sheet; second, a 30-minute Q&A session, in which he responded to questions of concern in the market.

From Powell's speech, we can extract several key pieces of information:

First of all, the Fed may end the process of reducing its balance sheet in the coming months. This signal could have a positive impact on the financial markets, especially on asset classes sensitive to liquidity.

Secondly, Powell stated that the economy may achieve a soft landing. This view injected some confidence into the market, suggesting that the risks of economic downturn may be effectively controlled.

Third, there are some worrying signs in the U.S. labor market. Powell has expressed concern about this, which may mean that the Fed is inclined to cut interest rates again at its meeting later this month.

Finally, Powell mentioned the issue of a potential delay in the release of October's economic data due to a government shutdown, which would complicate future assessments of the economic situation.

Overall, Powell's speech did not release any obvious negative signals. On the contrary, the possibility of stopping the balance sheet reduction and the potential inclination for interest rate cuts may create a relatively favorable environment for the market, especially for high-risk assets. However, investors still need to closely monitor changes in the labor market and the uncertainties brought about by government shutdowns.