INFLATION PRESSURE VS. RATE CUT POLITICS — POWELL & TRUMP CLASH
Fed Chair Jerome Powell has issued a clear warning: upcoming tariff hikes will push inflation higher in the coming quarters, complicating the central bank's path forward.
His message signals caution as the Fed continues to walk a fine line between economic cooling and over-tightening.
But Trump isn’t having it.
The president is now pressuring Powell to cut interest rates immediately, calling it the “ideal” time and accusing the Fed chief of playing “political games.”
Trump’s statement injects fresh political volatility into an already sensitive macro landscape.
So the tension builds: Will Powell stay the course despite inflation risks—or fold under political heat and stimulus pressure heading into election season?
Sources: @WatcherGuru, @Cointelegraph