🇺🇸 Trump strikes again: Powell has cut rates too little! 'US interest rates should be the lowest in the world'
The Fed announced a 0.25% rate cut on the 10th, and the US stock market immediately rebounded, but Trump is completely uninterested. He directly challenged during an interview at the White House:
'0.25% is too small! It should be at least 0.5%!'
He criticized Chairman Powell as 'stiff and narrow-minded', believing Powell is slowing down the US economy, even saying:
'How can you stifle growth with high interest rates when the country is developing well?'
Current interest rates:
🇺🇸 USA: 3.5% to 3.75%
🇪🇺 European Central Bank: 2%
🇬🇧 Bank of England: 4%
Trump argues that the US should be lowered to the lowest in the world.
💢 Trump has repeatedly hinted at being ready to replace Powell
Powell's term as Fed Chair expires in May next year, but he will still serve as a Fed governor until 2028.
Trump revealed that he 'has already interviewed candidates for the next chair', one of whom is former Fed governor Kevin Warsh, with an announcement possibly coming soon or delayed until early next year.
Trump has threatened to fire Powell multiple times this year, almost becoming a 'daily' occurrence in his second term.
🏦 Powell's response: I just want to leave the economy in the best shape
Powell refused to discuss whether he would resign as governor during a press conference, but emphasized:
⭕️ I hope to hand over to my successor when the US economy is stable
⭕️ Inflation is trending down towards the 2% target
⭕️ Employment remains strong
