
Firing of Fed Reserve chief ‘highly unlikely', says Trump
The statement came less than 24 hours after Mr Trump indicated in a private meeting that he is leaning in favour of dismissing the head of the US central bank.
Mr Trump confirmed that he discussed the 'concept' of dismissing Mr Powell in a meeting with about a dozen Republicans, who had gathered at the White House on Tuesday to discuss crypto legislation in the House of Representatives.
Jerome Powell leads the US central bank (Julia Demaree Nikhinson/AP)
'Almost every one of them said I should,' Mr Trump said on Wednesday during an Oval Office meeting.
US stocks were shaky after the news broke, as such a move could help Wall Street get the lower interest rates that it loves but would also risk a weakened Fed unable to make the unpopular moves needed to keep inflation under control.
Meanwhile, House Speaker Mike Johnson stopped short of calling for Mr Powell to be fired, saying he was not certain about the 'executive authority' involved.
But he did say 'new leadership would be helpful at the Fed'.
'I've been unhappy with the leadership there personally,' Mr Johnson told reporters on Wednesday.
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Irish Independent
5 hours ago
- Irish Independent
Trump says 50/50 chance of EU trade deal
"I would say that we have a 50-50 chance, maybe less than that, but a 50-50 chance of making a deal with the EU," Trump told reporters Friday before departing for a golf trip to Scotland. Trump added that US and EU negotiators were working "closely" to strike a deal. Trump earlier this month issued a letter saying the EU would face a 30pc tariff on most goods if they fail to reach an agreement by Aug. 1, in addition to sector-specific tariffs. Trump has hit cars and auto parts with a 25pc customs tax, and steel and aluminium with a rate double that. He's also threatened to target pharmaceuticals and semiconductors with new duties as early as next month, and recently announced a 50pc duty on copper. European negotiators are optimistic they can strike a deal that would set a 15pc baseline for most exports, with hopes that duties at that level would also cover categories like automobiles that are facing industry-specific duties. They also hope to set a quota for lower tariffs for some steel and aluminium products. The EU may also receive limited carve-outs linked to aviation, some medical devices and generic medicines, several spirits, and manufacturing equipment. Trump told reporters that he also expected to issue additional letters unilaterally setting tariff rates on other nations in the coming days, and expressed confidence that upcoming trade talks in Stockholm with China could yield more progress. The US and China have the "confines of a deal," Trump said. (Bloomberg)


Irish Post
9 hours ago
- Irish Post
US-Japan trade deal signals risk for Ireland and the EU
THE United States' recent trade deal with Japan may be seen as a political success in Washington, but for Ireland and the EU, it's a major shift in global trade dynamics. The agreement introduces a 15% tariff on Japanese exports to the US, replacing a previously threatened 25% tariff on cars. While that appears to offer Japan temporary relief, it still marks a harsh rollback of more than a decade of progress on global trade cooperation. For Ireland, a small, open economy heavily dependent on international trade, especially with America, the implications are serious. The food and drink sectors are especially at risk. Exports like butter and whiskey could become less competitive if slapped with steep US tariffs, especially when compared to similar products from Northern Ireland or Britain, which already secured a more lenient 10% tariff arrangement in an earlier deal. Though far from perfect, that deal now appears favourable compared to what the EU may soon face. The European Commission is currently in negotiations with Washington, aiming to avoid a looming 30% tariff the U.S. has threatened to impose from August 1. In response, the EU has approved a list of countermeasures worth €93 billion in tariffs on US goods, set to take effect on August 7 if no deal is reached. Ireland's exposure is particularly high. The Irish government initially flagged €12 billion of imports at risk from inclusion in the EU's countermeasure list. Following negotiations, this has been trimmed by €2.4 billion, with nearly €1 billion worth of sensitive Irish imports, like pharmaceutical components, being removed. Thirty specific agri-food products valued at €33 million, including purebred horses, sugar, molasses and some chocolate products, were successfully excluded following intensive lobbying. Still, this relief is partial at best. Ireland's pharmaceutical sector, one of its most critical exports to the US, remains vulnerable. President Trump's vocal focus on drug pricing seems to suggest that pharmaceuticals will become tariff targets. Additionally, Japan's concession to accept US vehicle safety standards sets a worrying precedent. It hands regulatory influence to Washington and pressures Europe to follow suit, potentially undermining EU regulatory sovereignty. The investment dimension of the US-Japan deal adds to EU concern. The $550 billion in Japanese capital earmarked for US infrastructure represents a massive diversion of resources. If similar terms were demanded of the EU, Ireland could be forced to channel investment into projects that prioritise US interests. The EU's previous lack of a unified response to US tariffs has only emboldened the current American administration. When the US imposed a blanket 10% tariff on numerous countries earlier this year, the EU's limited and fragmented reaction did little to deter further measures. As a result, the US continues to apply pressure on major economies individually, knowing few are willing to risk short-term economic pain in defence of long-term principles. Simon Harris, Ireland's Tánaiste and Minister for Foreign Affairs and Trade, emphasised that while Ireland supports reaching a negotiated deal, it is also crucial to prepare credible countermeasures to protect EU interests. 'This is not escalatory,' Harris noted. 'It's a continuation of our calm, measured preparation.' However, the risks remain severe. Seamus Coffey, chairperson of the Irish Fiscal Advisory Council, has warned of major uncertainty in the lead-up to the tariff deadline. He noted that Irish companies, especially pharmaceuticals, are pausing investments, in anticipation of potential disruption. While some diversification of supply chains is underway, the short timeframe limits effective risk mitigation. Ireland's limited leverage in global trade negotiations, coupled with its deep reliance on US trade, makes it particularly susceptible to shifting tides.

Irish Times
10 hours ago
- Irish Times
Taoiseach ‘hopeful' EU-US tariff deal will be done this weekend
A preliminary deal on trade tariffs between the European Union and the United States would 'hopefully be signed off before the weekend is over,' Taoiseach Micheál Martin has said. EU negotiators are trying to land a deal that would avert higher rates of import duties which US president Donald Trump has threatened on goods coming from Europe. Speaking on Friday, Mr Martin said it would be 'foolish' to put any bet on when a deal would be signed off by the EU and Mr Trump. Work was continuing to get a 'framework agreement' over the line, which would comprise the broad outline of a tariff deal, allowing further details to be worked out later. READ MORE [ What would a 15% tariff deal mean for Ireland? Opens in new window ] 'We're certain there will be detailed discussions afterwards in respect of line by line, in terms of many, many products. And so this will continue notwithstanding a framework agreement, [which] hopefully will be signed off before the weekend is over,' he said. 'Part of the reason for the intensity of those negotiations is to try and tie up as much as we can,' he said. The current outline of a draft agreement would see the EU accept blanket tariffs of 15 per cent on future trade with the US, up from a 10 per cent levy Mr Trump introduced in early April. The European Commission, the EU's executive arm leading the negotiations, wants any future tariffs on pharmaceuticals to be capped at that level. The EU is also seeking to have higher 25 per cent tariffs the US has put on EU-made cars to be reduced to that rate. National governments appear willing to stomach an across-the-board tariff of 15 per cent, to end the uncertainty Mr Trump's threats of potentially much higher levies has caused the European economy, or an escalating trade war if no deal is agreed. 'There has been a degree of volatility in all of this, which has been unsettling for investment and that's a concern I have,' Mr Martin said. The EU wanted to secure some 'certainty' around US tariffs targeting specific sectors, outside of the blanket rate, he said. The EU was not anxious to have to turn to possible retaliation, such as counter-tariffs on US products, he said. Speaking in Luxembourg, the Fianna Fáil leader said he hoped 'sense will prevail' in the ongoing negotiations concerning pharmaceutical products. The sector has avoided US tariffs to date, though Mr Trump previously promised they are coming in a bid to force companies to relocate manufacturing capacity and jobs to the US. Getting a deal on pharma products was 'of equal significance' to the US side, he said. Any 'significant disruption' of the heavily intertwined pharma supply chains would be damaging to the US, and potentially lead to shortages of medicines, Mr Martin said. Access to the European market had been of huge benefit to US pharma multinationals, he said. 'It's a two-way street ... unilateral action on the part of one [side] could ultimately damage the companies themselves and patients and consumers,' he said. Europe had to look at what it could do to increase trade within the bloc, to compensate for the knock-on impact of US tariffs on transatlantic trade, he said.