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Trump presses Powell for a full-point interest rate cut despite strong jobs report

On June 6, President Donald Trump called on Federal Reserve Chair Jerome Powell to reduce borrowing costs by one full percentage, despite the May jobs report indicating the economy added 139,000 positions and the unemployment rate holding steady at 4.2%.
The Fed paused rate hikes in January amid economic uncertainty caused partly by Trump's shifting tariff policies, which have left businesses and policymakers unsure about inflation and growth impacts.
Fed officials have kept rates at 4.25%-4.50% since December, signaling they will wait for clear labor market weakening before cutting rates again, while recent data show job gains slowing but the market remaining healthy.
Federal Reserve Bank of Cleveland President Beth Hammack expressed uncertainty about the future direction of the economy, highlighting the need for caution given mixed signals and inflation remaining above the 2% target.
The divergence between Trump's pressure for rate cuts and the Fed's data-driven caution suggests potential volatility, as markets expect no cuts until September while inflation risks and tariffs continue to influence policy decisions.

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The Telegraph

Lean Right

Fed defies Trump as it declines to lower rates

6 days ago·London, United Kingdom

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MarketWatch

Center

Trump is furious that Fed won’t cut interest rates like ECB. Here’s why Powell won’t budge.

7 days ago·United States

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Financial Times

Center

Transatlantic interest rate rift widens as Trump piles pressure on Powell

US president frustrated at Federal Reserve’s wait-and-see approach while European Central Bank has cut rates again

7 days ago·London, United Kingdom

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Boston Herald

Lean Right

Trump pressures Fed’s Powell to cut rates ‘a full point’

President Donald Trump urged the Federal Reserve to cut interest rates by a full percentage point, intensifying his pressure campaign against Chair Jerome Powell. “‘Too Late’ at the Fed is a disaster!” Trump posted Friday on social media, using a derisive nickname for Powell. “Despite him, our Country is doing great. Go for a full point, Rocket Fuel!” While the size of Trump’s rate-cut demand — a full percentage point — was unusual, his call for…

7 days ago·Boston, United States

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