“‘Preemptive Cuts’ in Interest Rates are being called for by many. With Energy Costs way down, food prices (including Biden’s egg disaster!) substantially lower, and most other ‘things’ trending down, there is virtually No Inflation,” Trump wrote on Truth Social.
“With these costs trending so nicely downward, just what I predicted they would do, there can almost be no inflation, but there can be a SLOWING of the economy unless Mr. Too Late, a major loser, lowers interest rates, NOW,” the president continued.
The statement by Trump was watched closely by Wall Street, where markets reopened Monday after a three-day holiday break.
The Dow, Nasdaq and S&P all closed down more than 2 percent on Monday, with the dive accelerating after Trump's Powell remarks.
The president has increasingly called for Powell to cut rates, while the Fed chair has warned that Trump’s tariffs could cause economic growth to stall while inflation increases — which would likely keep the Fed from being able to lower rates.
Trump last week said he couldn’t wait for the Fed chair’s “termination” and insisted Powell would leave if he attempted to fire him.
The Hill’s Alex Gangitano has more here.
