Latest news with #Powell
Time of India
an hour ago
- Business
- Time of India
'Too late': Donald Trump slams Jerome Powell, calling him one of the 'dumbest and most destructive'; accuses Fed chief of costing US billions
US President once again slammed Federal Reserve Chairman Jerome Powell, accusing him of costing the country hundreds of billions of dollars after the central bank kept the interest rates unchanged. Tired of too many ads? go ad free now "Too Late," Trump tweeted, calling Powell one of the "dumbest" and most "destructive" people in government. "Too Late" Jerome Powell is costing our Country hundreds of billions of dollars. He is truly one of the dumbest, and most destructive, people in Government, and the Fed Board is complicit," Trump posted on Truth social. Trump expressed frustration after the Fed chose to keep interest rates unchanged, despite European countries implementing multiple rate cuts. He argued that the US should have already reduced rates by 2.5 points to save billions on short-term debt, highlighting the country's low inflation as justification for the cuts. "Europe has had 10 cuts, we have had none. We should be 2.5 Points lower, and save $BILLIONS on all of Biden's Short Term Debt. We have LOW inflation! TOO LATE's an American Disgrace!" Trump noted. He had earlier called Powell a 'real dummy' and claimed he was "costing America billions." Trump also shared an article in which an investor argued Powell should resign immediately if he failed to cut short-term interest rates, saying the Fed's slow actions were hurting the housing market and that inflation had dropped enough to justify a rate cut. The US Federal Reserve decided to keep its benchmark interest rate unchanged for the fourth straight meeting, sticking with a range between 4.25% and 4.50%. Fed Chair Jerome Powell said the central bank was in no rush to act and would monitor inflation trends and the impact of Trump's new tariffs over the summer. Tired of too many ads? go ad free now 'We'll make smarter and better decisions if we just wait a couple of months,' Powell said, suggesting a cautious stance given the mixed economic signals. The Fed also revised its outlook—cutting its 2025 growth forecast from 1.7% to 1.4%, and raising inflation expectations to 3% and the unemployment rate to 4.5%.From 'stupid' to 'worst ever.' Trump's criticism of Powell is not new. In the past, Trump has publicly attacked the Fed chairman, including calling him 'stupid' just before the rates were announced. Trump has suggested that cutting rates will lower the interest America pays on its debt—an argument critics say overlooks the inflationary risks of such moves. The Fed noted that Trump's sweeping 10% tariffs on major trading partners were likely to increase inflation and slow growth. Powell added that the full effects were still unclear and may not be visible for several months. "Because the economy is still solid, we can take the time to actually see what's going to happen," he said.
NBC News
2 hours ago
- Business
- NBC News
Trump rips Jerome Powell after Fed holds interest rates steady
President Donald Trump ripped into Federal Reserve Chair Jerome Powell on Thursday, calling him 'destructive,' after the central bank kept interest rates steady on Wednesday. Trump said 'Too Late' Powell is costing the United States 'hundreds of billions of dollars' by not cutting rates, leveling a familiar criticism against the Fed chair who has repeatedly ignored Trump's pressure campaign to cut rates. 'We should be 2.5 Points lower, and save $BILLIONS on all of Biden's Short Term Debt,' Trump wrote Thursday on Truth Social. Trump also criticized Powell late Wednesday, calling him a 'real dummy' in a near-midnight Truth Social post. Powell, whose term ends in May of 2026, said Wednesday that, 'for the time being, we are well positioned to wait to learn more about the likely course of the economy before considering any adjustments to our policies.' Trump's remarks were in response to the Federal Open Market Committee keeping its borrowing rate targeted in a range between 4.25%-4.5%, which is on par with where it's been since December. The criticisms were not surprising, as the president has long slammed Powell for not lowering interest rates. As recently as Wednesday morning, hours before the Fed was set to release its decision on interest rates, Trump said: 'So we have a stupid person. Frankly, you probably won't cut today.' 'Europe had 10 cuts, and we had none. And I guess he's a political guy, I don't know. He's a political guy who's not a smart person, but he's costing the country a fortune,' he said outside the White House. Trump even mused about appointing himself to lead the Federal Reserve, saying, 'I'd do a much better job than these people.' Trump has said that he intends to announce his pick for the next chair of the Federal Reserve ' very soon.'
CNBC
3 hours ago
- Business
- CNBC
Trump rips into 'too late' Jerome Powell after Fed holds rates steady
President Donald Trump ripped into Federal Reserve Chair Jerome Powell on Thursday, calling him "destructive," after the central bank kept interest rates steady on Wednesday. Trump said "Too Late" Powell is costing the United States "hundreds of billions of dollars" by not cutting rates, leveling a familiar criticism against the Fed chair who has repeatedly ignored Trump's pressure campaign to cut rates. "We should be 2.5 Points lower, and save $BILLIONS on all of Biden's Short Term Debt," Trump wrote Thursday on Truth Social. Trump also criticized Powell late Wednesday, calling him a "real dummy" in a near-midnight Truth Social post. Powell, whose term ends in May of 2026, said Wednesday that, "for the time being, we are well positioned to wait to learn more about the likely course of the economy before considering any adjustments to our policies." Trump's remarks were in response to the Federal Open Market Committee keeping its borrowing rate targeted in a range between 4.25%-4.5%, which is on par with where it's been since December. The criticisms were not surprising, as the president has long slammed Powell for not lowering interest rates. As recently as Wednesday morning, hours before the Fed was set to release its decision on interest rates, Trump said: "So we have a stupid person. Frankly, you probably won't cut today." "Europe had 10 cuts, and we had none. And I guess he's a political guy, I don't know. He's a political guy who's not a smart person, but he's costing the country a fortune," he said outside the White House. Trump even mused about appointing himself to lead the Federal Reserve, saying, "I'd do a much better job than these people." Trump has said that he intends to announce his pick for the next chair of the Federal Reserve "very soon."
Yahoo
4 hours ago
- Business
- Yahoo
Trump's decision on whether to bomb Iran could have knock-on effects for his fight against the Fed
With the Fed's interest rate decision out of the way and a national holiday for the U.S. stock markets, investors are turning their attention to whether President Trump will bomb Iran. Stocks were largely down in Asia and Europe this morning, following a decline in the S&P 500 yesterday. The human cost of global conflict is unbearable for the victims, of course, and it comes with an economic cost too, which analysts are trying to estimate right now. President Trump has reportedly approved a plan to bomb Iran but not yet given the green light for action. The main issue for investors is what the Iran conflict might do to the price of oil and how that will affect the strength of the dollar. That, in turn, will likely influence the U.S. Federal Reserve's future decisions on whether or not to cut interest rates. Trump, of course, wants Fed Chair Jerome Powell to lower interest rates. He insulted Powell early this morning on Truth Social to underline that point: 'Too Late—Powell is the WORST. A real dummy, who's costing America $Billions!' One possible outcome is that if Trump decides to bomb Iran and the conflict produces a prolonged disruption to the supply of oil, that might strengthen the dollar while damaging the global economy. (Oil markets are settled in dollars, and rising oil prices would thus trigger greater demand for U.S. currency.) Those two factors—economic weakness but dollar strength—could push the Fed to make the interest rate cuts that Trump wants. Convera's Antonio Ruggiero sent a note to clients on the dollar issue this morning: 'Rising geopolitical tensions in the Middle East this week lent support to the greenback, with the DXY briefly pushing above 98.800 on Tuesday before paring gains. Behind the façade of safe-haven appeal lies the true driver of the dollar's rebound: rising oil prices, now hovering near a five-month high. Since most global oil trades are settled in U.S. dollars, surging crude demand tends to drive additional demand for USD. This rebound in sentiment is also reflected in the options market, where—for the first time since April—traders have backed off from bearish dollar positions. Escalating tensions could amplify this further.' At JPMorgan, Joseph Lupton and Bruce Kasman published a note that argued: 'The rise in risk premia associated with the Mideast war, if sustained, is already sufficient to fully offset the cushion provided by the oil supply increase [from Saudi Arabia]. This leaves a net drag on global GDP growth of 0.6% this year. Concentrated in the second half, this drag should lower 2H25 global GDP growth by more than 1% at an annualized pace,' they said. 'A full curtailment of Iranian oil exports (1.8mbd) would, according to our model, lift oil prices to near $100/bbl and, if sustained, reduce global GDP by a full %-point (or, more likely, 2%-point annualized in 2H25), threatening a global recession,' they said. The Fed, as always, is waiting for more data and less uncertainty. The uncertainty of war won't help, according to Daiwa Capital Markets: 'The Trump administration has yet to take a definitive stance on intervention in the Iran-Israel conflict–with the plotted course either facilitating a return to calm or potentially triggering a broader conflict that could disrupt energy markets. Thus, uncertainty remains high and officials have demonstrated that they are willing to wait for additional clarity,' Lawrence Werther and Brendan Stuart told their clients in a note seen by Fortune. Here's a snapshot of the action across global markets this morning: South Korea's Kospi was up 0.19%. India's Nifty 50 was flat. The S&P 500 closed flat yesterday. The market is closed for the Juneteenth holiday today. The U.K.'s FTSE 100 slipped 0.3% in early trading. China's Composite was down 0.82%. Japan's Nikkei 225 was down 1%. Hong Kong's Hang Seng was down 2%. This story was originally featured on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
4 hours ago
- Business
- Business Insider
As the Fed waits on the impact of tariffs, some are already feeling it
Happy Juneteenth! Since the BI Today team is off for the holiday, we're running an abbreviated version of the newsletter. But we've still got time for a scoop! Meta's deal with Scale AI has left its Big Tech clients eager to distance themselves from the company. In today's big story, the Fed is holding firm on interest rates as Fed Chair Jerome Powell waits to see the impact of Trump's tariffs. However, some people are already feeling them. The big story Holding pattern Getty Images; Alyssa Powell/BI Stop me if you've heard this before: The Fed didn't cut interest rates as it waits to see the impact of tariffs. For the fourth-straight time this year, the central bank chose not to adjust interest rates. And as was the case before, the impact of President Donald Trump's trade war was a key part of the decision, writes BI's Allie Kelly. It's tricky to navigate for multiple reasons. First, the ultimate severity of the tariffs is unclear as negotiations are ongoing. Second, the financial data hasn't yet indicated notable price changes due to the trade war. Still, Powell said he ultimately expects the cost of tariffs will fall to the consumer. "We expect a meaningful amount of inflation to arrive in the coming months," Powell said Wednesday, adding, "Someone has to pay for the tariffs." In some cases, it's already happening. (Much to the surprise of the customer.) BI's Emily Stewart has a story on the sticker shock customers are getting when steep import bills arrive on their doorsteps. Some people even questioned the legitimacy of the bills. A customer who purchased an $850 bag from Spain thought the text she got from UPS billing her $250 for the delivery was a scam, she told Emily. It's led to a lot of finger-pointing about who is to blame. Retailers often say their websites explain — albeit oftentimes in the fine print — that import duties are the customers' responsibility. Carriers like UPS and FedEx say they are just passing the bill they had to pay to the US government on to the buyers. Meanwhile, buyers are left frustrated with additional fees they often weren't aware of ahead of time. What's worse: Even if they return the item, they're still on the hook for the tariff bill. In other news AI runs on dirty power — and the public pays the price. CEOs are trying to warn you: Use AI or else Apple, Siri, and the booted blogger: A Conversation with John Gruber. F1's CEO says the job comes with 'no holiday.' He explains how he stays calm under pressure. Sneaker loafers, a hot new shoe trend, toe the line between fashionable and geriatric. Looking for a sign to put off buying an engagement ring? This just might be it. A Chinese herbal-medicine stock with no revenue has surged 60,000% this year. 5 things to know about the company's mysterious spike. Microsoft turned me down twice. Here's what I did differently the third time to get the job. CEOs haven't felt this gloomy about the economy since the pandemic.
