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Donald Trump withdrew to Jay Powell on Thursday, saying that the end of the chairman of the federal reserve “cannot come so quickly” after he accused him of failing to lower interest rates quite quickly.
The US president said in a post on his social platform of truth that Powell was “always too late and wrong. He added that the Fed Chief” should have lowered interest rates, such as (European Central Bank), long ago, but he must certainly lower them now. Powell’s conclusion cannot come so fast! “
The ECB is expected to reduce Thursday’s rates between concerns that Trump’s trade war will reach growth. The US president found global markets when he announced “reciprocal” steep tariffs of dozens of US trade partners before implementing a 90-day pause.
In a speech Wednesday, the chairman of the Fed, who was appointed by Trump in 2018, warned that the US president’s comprehensive tariffs would lead to a slower economic growth and higher inflation.
Powell said Trump’s taxes had been “significantly greater than anticipated”, and we could put the norm determinants in a “challenging scenario” in which their double goals of price stability and maximum employment are in tension. The next US Central Bank meeting is in May.
Trump has been a frequent critic of Powell, whose term will expire in May 2026, encouraging him to reduce borrowing costs. At the beginning of this month, the US president wrote about social truth: “Lower interest rates, Jerome and stop playing political!”
But in December, Trump told NBC News that he would not try to remove Powell from his position before his term ended. “No, I don’t think so. I don’t see it,” Trump said.
Global markets remained stable after Trump’s latest broadside, with S&P 500 set to open 0.5 percent, according to future contracts. The yield in the US 10-year treasure increased by 0.03 percentage points to 4.31 percent.
