US President Donald Trump on June 24 criticised US Federal Reserve Chair Jerome Powell for keeping the central bank's interest rates unchanged during its meeting earlier this month. His latest jibe comes ahead of Powell's Congressional testimony.
In a post on Truth Social, Trump said that Europe has had 10 rate cuts, while America had none, despite there being "no inflation" in the "great economy". "We should be at least two to three points lower. Would save the USA 800 Billion Dollars Per Year, plus. What a difference this would make. If things later change to the negative, increase the Rate," he said.
Trump further wrote, "I hope Congress really works this very dumb, hardheaded person, over. We will be paying for his incompetence for many years to come. THE BOARD SHOULD ACTIVATE. MAKE AMERICA GREAT AGAIN!"
Powell is scheduled to testify before the House Financial Services Committee on Tuesday and the Senate Banking Committee on Wednesday.
The US Federal Reserve's Federal Open Market Committee (FOMC) kept interest rates unchanged at 4.25 percent to 4.5 percent, following its June 17-18 meeting. The US central bank maintained the same level since December 2024 amid ongoing geopolitical tensions and trade-related volatility.
While announcing the Fed’s decision, Powell had however suggested that there could be two rate cuts later this year. He had noted that inflation is likely to rise in the coming months as Trump's significant tariffs take effect.
Notably, this is not the first time Trump has criticized Powell. Before US Fed's announcement earlier this month, Trump had said, "We have a stupid person at the Fed. He probably won't cut today... Maybe I should go to the Fed. Am I allowed to appoint myself at the Fed?"
After Powell’s ‘no rate cut’ announcement, Trump accused him of being "destructive".
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