US President Donald Trump does not let up and urges the central bank Fed with ever new advances to a substantial interest reduction. He wanted the Fed to take a big step down, he told reporters today. He repeated a demand from the previous day.
The central bank had acted far too early and too strongly with their past interest rate increases, which had served him as US President to the disadvantage. He was disappointed with the Fed, Trump said about the central bank, which is politically independent and today began its two-day interest rate session.
Soon decision
Tomorrow, the Fed will face the first interest rate cut in about ten years. The background is the uncertain economic outlook due to the tarnished by Trump tariff conflict. Experts expect a rate cut of a quarter of a percentage point to the new range of 2.0 to 2.25 percent.
That does not seem to be enough for Trump. His sometimes rough handling with the central bank culminated in the charge of the former real estate mogul, the currency guardians were „unaware.“ In addition, he threatened Fed chief Jerome Powell so that he can demote him if necessary. He does not want to let the White House talk him into deciding on a possible rate cut. The independent Fed is „immune“ to short-term political pressure.
