Trump Says Powell Will ‘Do What’s Right’ on Interest Rates
Trump said he expects the Fed Chairman will “eventually” cut interest rates, after again suggesting he could remove him this week.
(Bloomberg) -- Donald Trump said Thursday he expects Federal Reserve Chairman Jerome Powell will “eventually” cut interest rates, after again suggesting he could remove the central bank chief this week.
“He should have done it sooner,” Trump said after the Fed ended two days of policy meetings on Wednesday with a statement suggesting greater uncertainty in the economy could lead to a rate cut. “Can’t win it all. Eventually he’ll do what’s right.”
Trump told confidants as recently as this week that he has the power to remove Powell. Trump nominated the Fed chairman in 2017 but has soured on him after the central bank repeatedly raised interest rates last year.
The Fed has said Powell can only be removed “for cause,” and Powell said at a news conference on Wednesday that he expects to serve out his four-year term.
To contact the reporter on this story: Josh Wingrove in Washington at jwingrove4@bloomberg.net
To contact the editor responsible for this story: Alex Wayne at awayne3@bloomberg.net
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