In a speech from Jackson Hole, Wyoming, Federal Reserve Chairman Jerome Powell said "the time has come" for the central bank to start cutting rates. The comments combined with some better-than-expected housing data, sent all three of the major indexes (^DJI,^GSPC, ^IXIC) jumping late Friday morning.

In the video above. Yahoo Finance market reporter Jared Blikre breaks down the market action.

For more expert insight and the latest market action, click here to watch this full episode of Catalysts.

This post was written by Stephanie Mikulich.