Trump urges ‘numbskull’ Fed chair Powell to lower interest rates
President Trump made headlines once again by urging Federal Reserve chairman Jerome Powell to lower interest rates, calling him a “numbskull” in the process. Trump, who recently met with Powell in the Oval Office after publicly criticizing him for being too cautious, announced his plans to select a new chair once Powell’s term expires next year.
During a press conference, Trump suggested that reducing benchmark rates by 2% could potentially decrease the annual federal deficit by a staggering $600 billion. He emphasized the importance of taking action and criticized the Federal Reserve for not following the lead of Europe’s central bank, which has lowered rates 10 times compared to the US’s zero rate cuts.
In a display of frustration, Trump stated, “Nobody understands” the reluctance to lower rates and called for more aggressive measures to stimulate the economy. The president’s remarks highlight the ongoing tension between the White House and the Federal Reserve as they navigate economic policy decisions in a rapidly changing global landscape.
As Trump continues to push for rate cuts and expresses his dissatisfaction with Powell’s approach, the future of monetary policy in the United States remains uncertain. It remains to be seen how these developments will impact the economy and financial markets moving forward.
