Trump vs. Powell Sparks Inflation Fears & Market Jitters
Markets are on edge as White House advisor Kevin Hassett reveals Trump is considering firing Fed Chair Jerome Powell. This raises serious concerns about Fed independence and its impact on inflation. Long-term U.S. Treasury yields are climbing, while the dollar weakens. Analysts warn that undermining the Fed could shake investor confidence, pushing yields higher and increasing inflation expectations. Powell has stressed that price stability must come before employment gains—setting up a clear conflict with Trump’s pressure.
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