US President Donald Trump speaks on February 11, 2025 in the Oval Office of the White House in Washington, DC, USA.
Kevin Lamarque | Reuters
president Donald Trump Again, the positions switched to the Federal Reserve, which indicates in a social media post on Wednesday that interest rates have to decrease.
“Interest rates should be reduced, something that would go hand in hand with the upcoming tariffs !!! Let Rock and Roll, America !!!” The president said in a morning post about the social truth.
The comments come one day after the Fed chair Jerome Powell said The political decision -makers don’t have to be “in a hurry” to lower when you observe progress in inflation. Other officials have explained that they also evaluate the potential effects that will have the tariffs on prices, even though Powell avoided the direct comment on this topic.
In an appearance on Wednesday before the Committee on Financial Services of the House Financial Services, Powell would not react directly to Trump’s desire for lower prices, but said: “People can be confident that we have continued to reduce our heads, our work, our work Decisions are based on what happens in the economy.
When asked whether “statements by chosen officials are not among the things they act in one way or another,” Powell replied, “that’s right.”
Trump’s post also reflects a changing story from the White House when it comes to monetary policy.
Shortly after taking office, Trump asked to be “immediately” lowered, although he has no direct authority about the Fed. Days later he said that the central bank made the right decision to keep steadily at its session in January.
In later comments, the finance minister Scott Bessent said that the administration focused more on the reduction of the 10-year-old state treasury than the short-term Fed fund return.
Trump’s comment on Wednesday shows a reversal of putting pressure on the central bank to facilitate politics.
Implicating the market prices that the FED stays in the queue until June or July and will not be shortened again for the rest of the year. Some economists, including those of the Bank of America, believe that the central bank will not be relieved this year after the rental mediation rate overnight in 2024 this year.
About half an hour after Trump’s Post, the Bureau of Labor Statistics reported this Consumer prices rose more than expected In January. The 3% 12-month inflation rate 3.3% with the exception of food and energy-strength-strengthening the market expectations that the FED for the meeting in March could be in the queue and could wait at least September before he is doing again.
