š±Trump is once again taking aim at Fed Chair Jerome Powell, saying āhis termination canāt come fast enoughā and criticizing him for being too slow on rate cuts. There are reports that the White House is actively exploring whether Powell can be removed.
Letās be honestāTrump is a politician. Heās pushing for rate cuts because they tend to boost markets and make the economy look stronger under his watch.
But the Fed isnāt there to serve political interests. Powellās role is to manage inflation, employment, and overall economic stability based on dataānot presidential pressure.
If a sitting president were to remove a Fed Chair simply for not cutting rates, it would seriously undermine the Fedās independence. Thatās not a small dealāit could rattle the entire foundation of U.S. monetary policy.
So, what would this mean for the markets?
In the short term, it could spark panic. Stocks would likely take the first hit, and crypto wouldnāt be far behindādespite the narrative, crypto still moves in line with broader risk assets like tech stocks.
This isnāt just political theater. Itās a real test of the Fedās autonomy and the credibility of U.S. economic governance.
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