Former U.S. President Trump again publicly criticized Federal Reserve Chairman Powell, stating that 'almost everyone's consensus is that the Federal Reserve should cut interest rates as soon as possible,' and mockingly referred to Powell as 'Mr. Too Late,' accusing him of slow action that could 'mess up' the economy again. Previously, Trump has repeatedly pressured the Federal Reserve to lower interest rates, believing that low rates can stimulate economic growth and boost the stock market, but the Federal Reserve has maintained rates due to inflation risks and uncertainties, leading to escalating tensions between the two.

Trump believes that lowering interest rates can inject 'jet fuel' into the economy, stimulating the stock market by reducing borrowing costs and easing the economic pressures from his tariff policies. He has repeatedly cited the easing policies of European and Chinese central banks as examples, urging the Federal Reserve to follow suit. However, the Federal Reserve has kept interest rates unchanged in the range of 4.25%-4.50% three times since January 2025, emphasizing the need to observe inflation and employment data before adjusting policy.

Powell clearly stated that the Federal Reserve's decisions are not influenced by political pressure and must balance inflation risks with employment goals. He pointed out that Trump's tariff policy could raise short-term inflation and suppress growth, but the specific impact remains uncertain, thus a wait-and-see approach is necessary. Professor Diao Daming from Renmin University of China analyzed that the Federal Reserve's independence means it will only cooperate with the White House when economic policies are reasonable, while Trump's current policies lack domestic support, exacerbating the divisions between the two.

In the short term, market focus remains on Federal Reserve policy expectations and regulatory dynamics, while risks of technical corrections and geopolitical events may further amplify volatility. #美联储何时降息？