Fed holds rates unchanged as Donald Trump calls chairman Jerome Powell ‘stupid'
Federal Reserve chairman Jerome Powell said on Wednesday that Fed policymakers expect inflation in goods prices to go up over the course of the summer as the impact of US president Donald Trump's tariffs work their way to US consumers.
'We've had goods inflation just moving up a bit,' Mr Powell told a news conference after the Fed held rates unchanged.
'We do expect to see more of that over the course of the summer.'
Mr Powell said it takes time for tariffs to work through the goods chain of distribution, noting many goods being sold by retailers were imported months before tariffs were imposed.
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'So we're beginning to see some effects, and we do expect to see more of them over coming months,' he said.
'We do also see price increases in some of the relevant categories, like personal computers and audio visual equipment and things like that attributable to tariff increases.'
Mr Trump had earlier called for a huge reduction in US interest rates and asked whether he can 'appoint myself' at the Federal Reserve, just hours before the central bank was due to release its latest policy decision.
'We should be two points lower, it would be nice to be 2½ points lower,' the US president said at the White House on Wednesday morning.
Mr Trump added: 'Am I allowed to appoint myself at the Fed? I'd do a much better job than these people.'
The latest salvo against the Fed and its chairman, who he on Wednesday called 'stupid', came as policymakers held interest rates steady at the end of their two-day meeting.
The Fed cut rates by one percentage point last year, but has held them steady in 2025 as they assess how Mr Trump's tariffs will affect inflation and growth.
The US president has said that he will not fire Mr Powell, whose term ends next May. The US supreme court has signalled that it believes the executive branch does not have the legal right to fire Fed governors.
e Financial Times Limited 2025
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Irish Times
6 hours ago
- Irish Times
Fed holds rates unchanged as Donald Trump calls chairman Jerome Powell ‘stupid'
Federal Reserve chairman Jerome Powell said on Wednesday that Fed policymakers expect inflation in goods prices to go up over the course of the summer as the impact of US president Donald Trump's tariffs work their way to US consumers. 'We've had goods inflation just moving up a bit,' Mr Powell told a news conference after the Fed held rates unchanged. 'We do expect to see more of that over the course of the summer.' Mr Powell said it takes time for tariffs to work through the goods chain of distribution, noting many goods being sold by retailers were imported months before tariffs were imposed. READ MORE 'So we're beginning to see some effects, and we do expect to see more of them over coming months,' he said. 'We do also see price increases in some of the relevant categories, like personal computers and audio visual equipment and things like that attributable to tariff increases.' Mr Trump had earlier called for a huge reduction in US interest rates and asked whether he can 'appoint myself' at the Federal Reserve, just hours before the central bank was due to release its latest policy decision. 'We should be two points lower, it would be nice to be 2½ points lower,' the US president said at the White House on Wednesday morning. Mr Trump added: 'Am I allowed to appoint myself at the Fed? I'd do a much better job than these people.' The latest salvo against the Fed and its chairman, who he on Wednesday called 'stupid', came as policymakers held interest rates steady at the end of their two-day meeting. The Fed cut rates by one percentage point last year, but has held them steady in 2025 as they assess how Mr Trump's tariffs will affect inflation and growth. The US president has said that he will not fire Mr Powell, whose term ends next May. The US supreme court has signalled that it believes the executive branch does not have the legal right to fire Fed governors. e Financial Times Limited 2025
Irish Times
7 hours ago
- Irish Times
Iran enters near total internet blackout as Trump remains cryptic over potential US strikes
Iran entered a near total internet blackout on Wednesday as it and Israel continued attacking each other, and questions swirled about whether the US will directly enter the war. US president Donald Trump has been vague about whether he is planning to launch strikes on Iran, something analysts say Israel is very keen for. On Wednesday, Mr Trump was cryptic, telling journalists: 'I may do it, I may not do it, nobody knows what I'm going to do. I can tell you this: that Iran's got a lot of trouble.' On his official X account, Iran's supreme leader, Ayatollah Ali Khamenei, seemingly responded to Mr Trump's social media posts which included a call for 'unconditional surrender' and a threat to assassinate him. He called the US president's rhetoric 'absurd,' and said 'the Iranian nation isn't frightened'. Mr Khamenei said the US would suffer 'irreparable harm' if it entered the war and that Israel made a 'grave mistake' by attacking in the first place. READ MORE While Mr Trump said Iran reached out to him, suggesting representatives come to the White House, Iran's mission to the United Nations dismissed this as 'lies', saying 'no Iranian official has ever asked to grovel at the gates of the White House'. In a video released by his office on Wednesday evening, Israeli prime minister Binyamin Netanyahu said Israel is 'progressing step by step'. 'We control the skies over Tehran ... We are hitting the nuclear sites, the missiles, the headquarters, the symbols of the regime,' Mr Netanyahu said. Death tolls continue to mount. Though Iran's official toll of 224 has not been updated since Monday, Washington-based organisation Human Rights Activists – which has a wide range of sources in the country – said at least 585 people had been killed by Tuesday night. These included 239 civilians, 123 military-related figures and 220 'unidentified' people. Israel said 24 people had been killed by Wednesday and more than 804 injured, eight of whom were in a serious condition. Israel and Iran say their actions are taken to protect national security. Iran's communications ministry said it will impose restrictions on internet access to stop Israel from misusing it, though this also makes it difficult for Iranians to contact loved ones or receive information about attacks. Data from internet monitor NetBlocks reported a 'near-total national internet blackout' by Wednesday afternoon. Meanwhile, Israel's military censor warned that anyone who publishes information 'regarding the location of a strike', including on social media, blogs and in 'chats', must 'submit it for advance inspection' or be 'charged'. Violations risk state security, said censor head Brig Gen Kobi Mandelblit. Aid workers and others calling for a ceasefire in Gaza continue to worry that the direct confrontation between Israel and Iran is forcing attention from what is happening there. On Wednesday, Gaza's health ministry said hospitals had received 144 dead bodies in the past 24 hours. This puts the recorded death toll at 55,637.
The Irish Sun
8 hours ago
- The Irish Sun
Trump's ‘Doomsday Plane' designed to survive nuclear war touches down near Washington DC as Iran strike looms
DONALD Trump's n uclear-hardened "Doomsday Plane" has touched down near to Washington DC as speculation grows over a strike on Iran. The impervious US Air Force E-4B 'Nightwatch' aircraft landed at Joint Base Andrews under the cover of darkness on Tuesday - hours after Trump's crisis meeting in the White House Situation Room. 9 The impervious US Air Force E-4B 'Nightwatch' aircraft has touched down near to Washington DC Credit: Getty 9 An advanced satellite communications system allows for worldwide conversations with global senior leaders Credit: SWNS 9 A fire burns at the Iran State Radio and Television (IRIB) building after it was hit by an Israeli strike Credit: Shutterstock Editorial 9 Eager aviation followers managed to track the huge Boeing as it went on the move and went on a highly irregular flight path from Barksdale Air Force Base in Shreveport, Louisiana. Its movement has sparked fears that it could be a clear indication of Trump and the US joining the war against Iran . The US government has been urged to join forces with Israel in recent days and bring an end to the Iranian regime in the Middle East. Trump has even directly threatened Tehran's Supreme Leader this week, saying "we know where you're hiding". read more in Donald Trump US officials have stressed no official decision has been made yet about their intervention. But the Nightwatch being moved to just outside of the capital has raised many eyebrows around why it is now so close to the president. The craft took off from Bossier City and traveled along the coast before landing at the airbase in Maryland at 10:01pm. The flight lasted for over four hours with never-before-seen call signs also being noticed by online trackers of ORDER01 instead of the typical ORDER6. Most read in The US Sun The militarized Boeing 747-200 is only used by the White House's top staff and defence forces in case of a major emergency or global crisis. The aircraft has only been called into action once before - on September 11, 2001 during the attack on the Twin Towers. Britain will NEVER be safe until Iran's nuke scheme is crushed…this is our Churchill moment, Israeli ambassador says This is due to it being specially designed to keep the US's most powerful figures safe even in the most deadly conditions. It is designed to withstand electromagnetic pulses and even nuclear and thermal blasts - hence the "Doomsday Plane" nickname. They have been in operation since the 1970s and were long considered the best chance for a Cold War president to survive a nuke. The massive 231ft jet can hold up to 111 crew and passengers on board and features six main areas from a relaxing lounge to a command work area and briefing room. Another key safety feature is that the plane has four engines and is capable of refueling mid flight allowing for over 35 hours in the air. Elsewhere, an advanced satellite communications system allows for worldwide conversations with global senior leaders. An engine can produce 52,500 pounds of thrust from the planes and they can carry up to 800,000 pounds. This weight can be easily distributed across the massive 231ft long craft that also boasts a 195ft wingspan. 9 Smoke rises in the direction of Khojir complex as the Israel-Iran air war continues Credit: Reuters 9 A USAF C-17 Globemaster cargo transport plane lands at Prestwick airport as one of many US military aircraft deployed from the US towards Europe and the Middle East Credit: Alamy 9 Trump has already sent threats to Iran and their Supreme Leader in recent days Credit: Each individual plane is believed to have cost a whopping $223million to make. While it is still unclear why the plane was moved overnight, the aircraft is operational 24/7 to make sure it is always available when needed. Regular training flights are often done throughout the year as well. It follows a week of signs that the US is preparing to blitz Iran with the most notable being a At least 30 large air-to-air refuellers swooped across the Atlantic followed by at least a dozen F-22 Raptors and F-35 Lightning jets. Experts said the F-22s and F-35s would most likely be used to bolster Israel's air defence amid fears Tel Aviv cold run low in its Iron Dome and interceptor missiles. But there are fears the fighter bombers could also be used to strike targets inside Iran . The USS Nimitz aircraft carrier was also seen The US President has already warned the "full strength and might" of the military would be used if America was attacked. Dozens of USAF KC-135 Stratotanker refuelers and KC-46 Pegasus tankers swooped into bases in Prestwick, Scotland, Ramstein, Germany, Moron in Spain and Chania in Crete. US Defence Secretary Pete Hegseth said he had ordered 'the deployment of additional capabilities' to the Middle East amid spiralling fears of World War Three. But he insisted their role was 'defensive'. The Sun's trip on board USS Nimitz By AS America sends the flagship USS Nimitz supercarrier to the Middle East amid rising tensions, the Sun reveals what life is like onboard. The Sun spent two days on board the Nimitz, nicknamed Old Salt, a $4.5billion nuclear-powered supercarrier weighing almost 100,000 tons. The warship is 1,092ft long and 252ft wide and has a four and a half acre flight deck. The massive 117,000 sq ft warship boasts four aircraft catapults and jets are brought up to the deck using four giant elevators from the hangar deep below the 4.5 acre flight deck. The supercarrier, the flagship of Carrier Strike Group 11, holds F/A-18 Super Hornets, EA-18G Growlers and F-35C stealth strike fighters. Inside the ten floor, 3,000 room hull underneath the flight deck life is one slick operation. There are several cafeterias, gyms, a Starbucks coffee shop and 'luxury' state rooms for 'Distinguished Visitors'. Since it is nuclear-powered, the Nimitz – call sign NMTZ - can operate for up to 20 years without refueling. The Nimitz is the world's second largest supercarrier, only behind the Gerald R Ford. 9 The aircraft carrier USS Nimitz is also heading for the Middle East Credit: AFP 9 Smoke and fire rise at an impacted facility site following missile attack from Iran on Israel Credit: Reuters
