Trump Urges 250 Basis Points Cut in Fed Interest Rates – Coincu

Former U.S. President Donald Trump urged Federal Reserve Chair Jerome Powell to slash interest rates by 250 basis points on June 19, citing economic challenges.

Trump’s persistent demand for lower rates emphasizes a divergence from the Fed’s modest cut projections, hinting at ongoing economic debates.

Trump Presses for Aggressive 250bp Rate Reduction

Donald Trump has publicly requested a 250 basis point cut in interest rates by Federal Reserve Chair Jerome Powell. This request underscores Trump’s historical advocacy for more aggressive monetary policy. While not new, the call renews discussion around rate policies that could influence economic strategies.

No official response from Powell or shifts in Federal Reserve policy have occurred following Trump’s remarks, remarked Federal Reserve Chair Jerome Powell, projecting “rates at 3.9% by year-end 2025, translating to 50 basis point cuts this year.”

Financial markets and particularly crypto assets have maintained collective stability. Despite Trump’s statements, industry players and analyst communities focus on Federal Reserve decisions. Interest rate-sensitive risk assets, including Bitcoin and Ethereum, continue monitoring macroeconomic policy without direct price changes currently evident.

Steady Bitcoin Despite Trump’s Monetary Policy Demands

Did you know? During Trump’s presidency, similar calls for large interest rate cuts were frequent, yet the Federal Reserve consistently proceeded with more conservative reductions. This trend highlights ongoing tensions between political and economic decision-making processes.

Bitcoin (BTC) remains steady at $104,374.84 with a market cap of $2.08 trillion. The digital currency shows a slight 0.72% decline over 24 hours, maintaining a dominant 64.06% market share. Bitcoin’s trading volume has decreased by 21.25%, reporting $41.60 billion in trades as of June 19, according to CoinMarketCap.

Coincu’s research sheds light on the outcomes of prolonged low-rate advocacy by Trump. Expert analysis indicates such demands may not directly translate into policy shifts, keeping risk assets’ volatility tethered to actual Federal Reserve decisions. Long-term impacts will hinge on whether future board meetings align more closely with broader economic forecasts.