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The "New Federal Reserve News Agency": Although the next Federal Reserve Chairman has not been decided, Trump has already tarnished their "credibility".
① Although it is currently unknown who will be the next Chairman of the Federal Reserve, it is certain that this person will be nominated by Trump, and it is difficult to escape a common public doubt; ② This doubt is: will he/she become Trump's "puppet"?
The Federal Reserve collectively hits the "pause button"! Amidst the tariff war, Powell holds the "rate cut button" but dares not act rashly?
The Federal Reserve's senior officials spoke intensively on Thursday (April 25), clearly indicating that there is currently no need to adjust the MMF policy. Governor Waller and Cleveland Fed President Mester both emphasized the need to wait for more data to assess the actual impact of Trump's tariffs on the economy. Waller pointed out that the effects of the tariff policy will not be evident until this summer at the earliest, so the likelihood of an immediate policy shift is extremely low. The "bullet effect" of tariffs: Is inflation just a fleeting phenomenon? Waller repeatedly emphasized that tariffs might only trigger a "one-time price increase" rather than sustained inflation. He analyzed that while rising import costs push up prices, shrinking consumption, declining employment, and household financial situations are all factors.
Regarding interest rate cuts! Several Federal Reserve officials have spoken out, with possible action as early as June.
① On Thursday local time, Cleveland Fed President Loretta Mester ruled out the possibility of a Federal Reserve rate cut in May but hinted at a possible cut in June; ② On the same day, several Federal Reserve officials publicly discussed the matter of rate cuts. Federal Reserve Governor Christopher Waller also stated that he would support a Federal Reserve rate cut if there is a significant rise in the unemployment rate.
Trump Is Making the Next Fed Chair's Job Even Harder -- WSJ
Federal Reserve's Kashkari: Resolving trade disputes will eliminate economic uncertainty.
Kashkari stated on Thursday that resolving trade disputes with major partners as soon as possible will help eliminate the uncertainty hanging over the USA economy.
Oil Prices Climb On Weaker US Dollar, Uncertainty Around OPEC+ Output