Trump, Federal Reserve and Jerome Powell
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While almost no one thinks Donald Trump's verbal attacks on Federal Reserve Chair Jerome Powell are a positive development, they have electrified the debate about whether the U.S. president is right that interest rates are too high.
Economic experts say the Federal Reserve is unlikely to cut rates despite President Donald Trump's demands due to uncertainty from tariff hikes.
A new report shows inflation has picked up and analysts believe the prices of many goods increased, in part, because of President Trump’s tariffs. It will play into decisions by the Federal Reserve about when and whether to cut interest rates and comes as the president and his team have ramped up their pressure campaign on Fed Chair Jerome Powell.
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Explícame on MSNTrump's Push for Lower Interest Rates: The Quest to Oust PowellPresident Donald Trump has intensified his criticism of Federal Reserve Chairman Jerome Powell, aiming to replace him with someone who will lower interest rates.
A Fed policy rate that low is not typically a sign that the U.S. is the "hottest" country in the world for investment, as Trump has said.
The Fed's $2.5 billion headquarters renovation is attracting mounting criticism from the Trump administration, which had been already attacking the central bank for not cutting interest rates.
That leaves its key rate at 2%, more than 2 percentage points below the Fed’s 4.25% to 4.5% and among the largest gaps between the regions in recent memory.
The president floated the idea of firing the Fed chief to lawmakers, then said such a move was "very unlikely."