Trump angry with Pavel’s decision not to reduce the interest rate, what can he dismiss?

Donald Trump: European Central Bank (ECB) has cut interest rates for the seventh time this year on Thursday. Also, the interest rate has been indicated to reduce even more. Whereas a day before this, Jerome Powell, chairman of the US Federal Reserve indicated that he is not in a hurry to cut interest rates at the moment. He says that he will not hurry to decide on monetary policy. His focus is currently the impact of Trump’s tariff policy on the US economy.

Donald Trump raging on Pavel

Now it is obvious that Trump is unhappy with Pavel’s decision. He compared the Fed Reserve to ECB in one of his posts on Thursday and criticized Powell as “always late and wrong”. Trump says that Powell should have already reduced interest rates like the European Central Bank. Explain that the Federal Reserve has retained the policy interest rate within the radius of 4.25 percent-4.50 percent from December, while the interest rates were cut thrice from September to December 2024.

Trump put pressure on reducing interest rate

Trump argued in his post saying, “The prices of oil and grocery items (even eggs) have come down. America is getting rich through tariffs. Like ECB, interest rates should have been reduced long ago, but now it must definitely be reduced.

While Fed Reserve’s policy makers are facing many challenges these days. At an event held at the Economic Club in Chicago on Wednesday, Pavel said, “Inflation may increase due to tariffs.” In such a situation, it will be difficult for the Fed to deal with weak economic development. Earlier, Jerome Pavel had said that if inflation is not reduced then the interest rates can remain high.

Can Trump dismiss Pavel?

President Trump on Thursday attacked Federal Reserve Chairman Jerome Pavel and posted on social media, “The dismissal cannot be so soon.” In 2017, Trump appointed Jerome Powell as the chairman of the Fed. His term will end in May 2026. However, this is not the first time that Trump has threatened Powell, but earlier in 2018 he has clashed with Pavel over the interest rate policy, but did not dismiss him.

Also read:

Infosys Dividend: 17 -month -old child earned more than 10 crores from dividend, know who is concentrated Rohan idol