*Trump vs Powell: The Rate War Just Got Personal
Was monitoring economic data when this dropped...
Trump unleashes on Jerome Powell after weak jobs report
ADP jobs: Expected 110K, got 37K (weakest since March 2023)
Trump's response? "LOWER THE RATE" in all caps on Truth Social.
*What Happened
The trigger: ADP showing only 37,000 jobs vs 110K expected
Trump's reaction: Called Powell "unbelievable!!!" demanding immediate cuts
The context: ECB cut rates 9 times while Fed holds at 4.25%-4.5%
This isn't policy disagreement - it's personal warfare.
*The Split
Trump's position:
-Fed dragging feet while competitors move faster
-U.S. falling behind economically
-Rate cuts needed now
Powell's stance:
-Data-driven decisions, not political pressure
-Inflation concerns from tariffs
-Cautious approach
Classic Fed independence vs political pressure tension.
*Global Context
What's happening:
-ECB: 7 cuts done, 8th expected
-Switzerland: Considering cuts
-U.S.: Standing pat
Trump's argument: "We're falling behind" - sees global cuts as competitive disadvantage.
*Market Reality
Jobs data: 70% miss vs expectations, official BLS report pending
Fed dilemma: Support jobs vs contain inflation
Market impact: Uncertainty creates volatility across all assets, including crypto.
*What I'm Watching
June 17-18 Fed meeting decision
Official jobs report impact
Continued Trump pressure
*My Take
Powell faces impossible choice: Maintain independence or respond to economic reality.
Trump's pressure isn't stopping. If data keeps weakening, Fed may have no choice.
The real question: Can Fed independence survive political warfare?
This affects everything - dollar strength, market volatility, crypto flows.
#powell #TRUMP #TrumpTariffs