๐จ Donald Trump is once again shaking the marketsโnot with policy, but with words. In a recent statement, he publicly expressed discontent with Jerome Powell, the Chairman of the U.S. Federal Reserve, sparking fear among investors and confusion in the financial community.
๐ฌ โI am not happy with Powell!โ โ Trump
โ๏ธ Can Trump Really Fire Powell?
๐ The short answer: No, not directly.
While Trump has made strong statements, the decision to remove Powell is not unilateral. It requires a vote by 15 key Federal Reserve governors, most of whom are currently in support of Powell's policies.
So, even if Trump wins the next election, firing Powell is still a complex, unlikely move without internal support.
๐ Why is Powell Ignoring Trump?
๐๏ธ The Fed is Independent
The Federal Reserve is structured to operate independently of politics to maintain trust and avoid manipulation of interest rates for elections or popularity.
๐ Focus on Inflation
Powell is more focused on controlling inflation, not politics. Cutting rates early (as Trump wants) could create another inflation wave, which Powell aims to avoid.
๐ Global Credibility
If Powell gives in, it sends a message that central banks can be bullied by politicians โ damaging trust worldwide.
๐ฏ What Does This Mean for Traders?
๐น Expect volatility in DXY (Dollar Index) and possibly Gold and Bitcoin to react.
๐ง Be cautious of media noise; watch for Fed meeting minutes, not just tweets.
๐ Watch safe-haven assets if this feud escalates (Gold, BTC, JPY).
โ ๏ธ Final Thought
This is more than drama. Itโs a battle of politics vs policy.
Trump wants rate cuts to stimulate the economy before elections.
Powell wants long-term economic stability โ even if it's unpopular.
Place your Positions now !!
๐ $BTC
๐ $ETH
