President Donald Trump has publicly attacked the Chairman of the Federal Reserve, Jerome Powell, for not acting promptly in adjusting interest rates.
On the Truth Social platform, Trump called Powell an “idiot” and “clueless,” and likened talking to Powell to “talking to a wall.”
Speaking to the press on Thursday, Trump emphasized:
“China is lowering interest rates, the Bank of England is also lowering, everyone is lowering except him.”
He also gave the Fed Chairman the sarcastic nickname “Too Late Powell.”
The Fed keeps interest rates unchanged despite political pressure.
A day earlier, the Federal Open Market Committee (FOMC) announced it would maintain interest rates in the range of 4.25% – 4.5%, believing this was an appropriate level to balance job growth and inflation control.
The Fed stated:
“Uncertainty in the economic outlook has increased, and the dual risks of unemployment and inflation are both rising.”
Since December, the Fed has not changed interest rates, after having lowered them by 0.25 percentage points at the end of 2024.
The American economy remains Trump’s “foundation.”
Despite being dissatisfied with the current monetary policy, Trump believes the American economy is strong enough to overcome any challenges.
“We are very strong. What we have done will help the country not be affected much,” he said.
The dispute between Trump and the Fed is expected to continue escalating in the context of the upcoming presidential election, with interest rates remaining a focal point of financial markets.
