** Shares of U.S. media companies rise following Federal Reserve Chair Jerome Powell's indication that the central bank may cut interest rates at its September meeting

** Powell noted that monetary policy may need adjusting given the shifting balance of risks

** Fed rate cuts lower borrowing costs, encouraging consumer spending and higher advertising budgets, which in turn boosts demand and ad revenues at media companies

** Warner Bros Discovery WBD.O up 2.8%, Walt Disney DIS.N up 2.3% and Comcast CMCSA.O up 2%

** Paramount Skydance PSKY.O up about 2%

** At 10:30 a.m. ET, the Dow Jones Industrial Average .DJI rose 1.64%, while the S&P 500 .SPX gained 1.41%

(Reporting by Kritika Lamba in Bengaluru)

((Kritika.Lamba@thomsonreuters.com))