There's no sign of Powell's magic. The S&P 500 is down 1.5% after the press conference.

And that's not surprising. Powell noted several times that macroeconomic indicators still haven't stabilized. The labor market is overheated, and so is the housing market, contrary to falling demand.

The Fed will continue to raise rates. The head of the Fed did not promise a 0.5% rate hike in December, rather than a 0.75% hike. Although there is hope for policy easing in his words.

One key statement: "there is no indication that inflation is coming down." This is a prophecy to the markets that the Fed will remain fairly tight.