Trump says US Fed should ‘substantially lower’ interest rates
- The Fed voted 10-2 on Wednesday to keep the benchmark lending rate unchanged
WASHINGTON: US President Donald Trump slammed Federal Reserve Chair Jerome Powell’s monetary policy on Thursday, saying the central bank should “substantially” lower interest rates a day after it paused its series of cuts.
The Fed voted 10-2 on Wednesday to keep the benchmark lending rate unchanged, prompting the US leader to renew his criticism of chairman Powell.
“Jerome ‘Too Late’ Powell again refused to cut interest rates, even though he has absolutely no reason to keep them so high,” Trump wrote on his Truth Social platform.
He called Powell a “moron,” adding: “The Fed should substantially lower interest rates, NOW!”
READ MORE: Fed holds rates steady, sees ‘elevated’ inflation and stabilizing job market
While Trump said that Powell “admits inflation is no longer a problem or threat,” the central bank in a statement Wednesday noted that “inflation remains somewhat elevated.”
Trump’s lengthy social media post also comes as his administration has escalated attacks on the central bank.
The president has been seeking to oust Fed Governor Lisa Cook over allegations of mortgage fraud, while the Department of Justice has launched a probe into Powell over renovations at the bank’s headquarters – prompting a rare rebuke from the Fed chief.
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