Trump Says Powell Is Hurting the Country
Former U.S. President Donald Trump has once again criticised Federal Reserve Chair Jerome Powell, blaming him for keeping interest rates high. Trump said that because of Powell’s slow actions, the United States is “paying the price”. He called Powell a “total loser” and “Too Late Powell”, claiming his delay in cutting interest rates has already cost the country trillions of dollars.
Trump posted these strong comments just after the Federal Reserve decided to keep interest rates unchanged between 4.25% and 4.50%. This decision was made by a 9–2 vote, showing that most Fed members support the current policy.
Even Fed Members Are Divided
Two top Fed officials, Michelle Bowman and Christopher Waller, disagreed with the decision and wanted rates to be cut. Their votes show that there is some disagreement inside the Fed about how to handle the current economic situation. Inflation is still a concern, but growth has slowed in recent months.
Renovation Costs Add More Drama
Trump also attacked Powell over a planned renovation of the Fed’s headquarters in Washington. Trump claimed the project was wasting taxpayer money. However, Powell replied that Trump’s information was wrong, and the renovation was already being handled carefully and within limits.
Powell Defends the Fed’s Decisions
Despite the attacks, Powell stood firm and said the Fed will make decisions based on economic data, not political pressure. He explained that it is too early to lower interest rates, especially with tariffs rising and inflation still not under control. The Fed wants to avoid making quick decisions that could hurt the economy more.
Impact:
Trump’s public attacks could put extra pressure on the Fed. But for now, Powell may continue holding rates steady. If inflation stays high, a rate cut might not come soon. Markets could stay uncertain in the coming weeks.
