On SNS: "Powell Is Too Late, Dumb and Destructive"
Calls for a 2.5 Percentage Point Rate Cut
On June 19 (local time), U.S. President Donald Trump once again criticized Federal Reserve (Fed) Chair Jerome Powell, who had kept the benchmark interest rate unchanged the previous day, pressuring for a rate cut by saying, "He is costing our country hundreds of billions of dollars."
On his self-created social networking service, Truth Social, President Trump said, "'Too Late' Jerome Powell is one of the dumbest and most destructive people among government officials, and the Fed Board is also involved."
He argued, "Europe has made 10 rate cuts, but we have not made a single one," and added, "We need to lower (the rate) by 2.5 percentage points to save billions of dollars in interest from Biden's (referring to former President Joe Biden) short-term debt."
President Trump further stated, "Our inflation is low," and added, "Being too late is a disgrace to America."
The previous day, the Fed held a regular Federal Open Market Committee (FOMC) meeting and kept the benchmark interest rate at 4.25?4.5% for the fourth consecutive time. As concerns over stagflation (rising prices amid economic stagnation) due to tariff policies intensified, the Fed reaffirmed its stance to maintain a cautious monetary policy until the economic impact becomes clearer.
Prior to this decision, President Trump had also called Chair Powell a "stupid person" the previous day and repeatedly pressured for a rate cut, saying, "He probably won't lower (the rate) today, but we need to lower it by another 2 percentage points."
In response, Chair Powell made it clear he would not be swayed by President Trump's pressure for a rate cut, stating at a press conference held immediately after the FOMC meeting, "What FOMC members want is a strong U.S. economy where a robust labor market and price stability are in harmony."
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