RE: Powell speech later today.......16th april17 Apr 2025 10:42
Surprising that as yet Donald Trump has not reacted to Jerome Powell's comments last night alluding to no rush to cut rates due to tariffs. I am expecting that he will a some stage start sounding off to try to exert further pressure on Powell to start a rate cutting cycle sooner rather than later?
"CHICAGO -- The Federal Reserve can stay patient and wait to see how tariffs and other economic policies of the Trump administration play out before making any changes to interest rates, Chair Jerome Powell said Wednesday in Chicago.
"For the time being, we are well positioned to wait for greater clarity" on the impact of policy changes in areas such as immigration, taxation, regulation, and tariffs, Powell said.
The sharp volatility in financial markets since President Donald Trump announced sweeping tariffs April 2, only to put most of them on hold a week later, has led to speculation about whether the Fed would soon cut its key interest rate or take other steps to calm investors. Yet the Fed is unlikely to intervene unless there is a breakdown in the market for Treasury securities or other malfunctions, economists say.
In written remarks to be delivered to the Economic Club of Chicago, Powell reiterated that the Trump administration's tariffs are "significantly larger than anticipated.""
https://abc7chicago.com/post/federal-reserve-chariman-jerome-powell-speak-economic-club-chicago-wednesday-amid-tariff-inflation-talks/16184399/