Latest news with #FedGovernor
The National
2 days ago
- Business
- The National
Trump presses Fed's Powell to cut interest rates by a full point
US President Donald Trump called on Jerome Powell to cut interest rates by a full percentage point on Thursday, ramping up his pressure on the Federal Reserve chair. Mr Trump's latest attacks on the Fed chair came shortly after a Labour Department report showed employers added 139,000 jobs last month, slower than its March gain but still above economists' projections. The unemployment rate remained steady at 4.2 per cent. ''Too Late' at the Fed is a disaster!,' Mr Trump wrote on Truth Social, referring to Mr Powell. 'Europe has had 10 rate cuts, we have had none. Despite him, our Country is doing great. Go for a full point, Rocket Fuel!' In a series of follow-up posts, Mr Trump claimed rate cuts would allow the US to lower short and long-term rates 'on debt that is coming due'. Mr Trump has regularly attacked Mr Powell in recent months over the Fed chair's caution in cutting interest rates. Mr Powell so far has resisted the pressure from the White House and maintains that policy decisions will be data dependent. He and other members on the rate-setting Federal Open Market Committee are currently debating how Mr Trump's tariffs will affect the economy. Speaking in New York on Thursday, Fed Governor Adriana Kugler laid out her support for keeping rates at their current level due to rising inflation risks. Also speaking on Thursday, Kansas City Fed president Jeff Schmid said he expects tariffs will 'likely push up prices', with their effects not being 'fully apparent for some time'. The Fed, which has left rates unchanged for the past three meetings at roughly 4.3 per cent, will hold its next two-day meeting from June 17-18. The Fed's next blackout period begins at midnight on Saturday, meaning there will be no public communications from the central bank before it announces its next rate decision. Traders anticipate the Fed will keep rates unchanged through the summer, according to CME Group data.
Bloomberg
09-05-2025
- Business
- Bloomberg
Warsh Suggests Fed's Tariff Remarks Imply Impaired Credibility
Kevin Warsh, who is seen as a possible contender to be the next Federal Reserve chair, suggested the US central bank would be at fault if it cannot prevent tariff-related price hikes from leading to a persistent rise in inflation. 'If central banks assert that outside changes in the price level affect inflation, drive a set of inflation outcomes, then they're in some ways admitting something against their own interests,' Warsh, a former Fed governor, said Friday at an event in Stanford, California.
