U.S. President Donald Trump has revealed that he is considering Fed Chair Jerome Powell. His statement came as he also called on the U.S. Central Bank to lower rates following the July CPI data release.
Donald Trump Contemplates Suing Powell as He Pushes For a Fed Rate Cut
In a Truth Social post, the U.S. president said that he is considering allowing a major lawsuit against Powell to proceed over the Federal Reserve renovations costs. He said that the Fed Chair has done a “horrible and grossly incompetent job” in managing the construction of the Fed buildings.
Donald Trump further remarked that $3 billion for a job that should have been a $50 fix-up is not good. As CoinGape reported last month, Powell was also criminally referred to the DOJ for perjury related to these renovation costs.
This renovation costs saga has been one of the ways in which Powell continues to face pressure amid his hesitation to make a Fed rate cut. Notably, the U.S. president visited the Federal Reserve last month to inspect the ongoing renovation, where he also called for a rate cut.
Meanwhile, Donald Trump’s latest remarks follow the U.S. CPI data release. The president said that Powell must now lower the interest rate. He said that the damage the Fed Chair has done by always being “Too Late is incalculable.”
Trump added that, fortunately, the economy is so good that it has blown through Powell and the complacent Fed Board. CoinGape reported that the July U.S. CPI data came in at 2.7% year-over-year (YoY), below expectations of 2.8%. Meanwhile, the monthly CPI dropped to 0.2%, from the previous 0.3%.
This again suggests that the Donald Trump tariffs aren’t having as much of an impact as the Fed had expected them to have on inflation. Powell had, up till now, insisted that it was best to wait and see the impact of the tariffs on inflation before making a Fed rate cut.
In another Truth Social post, the president declared that tariffs have not caused inflation and that instead, massive amounts of cash are pouring into the U.S. He added that consumers are not even paying the tariffs.
Stephen Miran Comments On CPI Data
In a CNBC interview, Donald Trump’s nominee for the Fed Board, Stephen Miran, commented on the July CPI data. He stated that he was very pleased to see that inflation is “well behaved.”
Miran further remarked that there is no evidence of inflation at the aggregate level. Meanwhile, he indicated that these figures are accurate as compared to the July job report, noting that CPI data rarely gets revised.
Miran also stated that CPI inflation has been running at a 1.9% annualized rate since Donald Trump took office, which he claimed is a normal pattern. He added that there continues to be no evidence whatsoever of tariff-induced inflation.
Boluwatife Adeyemi
Boluwatife Adeyemi is a well-experienced crypto news writer and editor who has covered topics that cut across several niches. His speed and alacrity in covering breaking updates are second to none. He has a knack for simplifying the most technical concepts and making them easy for crypto newbies to understand.
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Source: https://coingape.com/donald-trump-mulls-lawsuit-against-powell-amid-fed-rate-cut-push/