Trump Wants Rate Cut in October, Fed Independence Tested
US President Donald Trump said on Friday (June 5) that he wants lower interest rates, but will leave the decision on a possible rate cut to Federal Reserve Chairman Kevin Warsh at the October meeting. Warsh was sworn in as Fed Chairman on May 22, 2026, replacing Jerome Powell, whom Trump frequently criticized for being too slow in lowering interest rates.
Trump's statement emphasized that political pressure for easing remains, but formally, the decision rests with the central bank. Warsh himself has repeatedly stated his commitment to maintaining the Fed's independence, so the market will be watching to see whether future policy communications remain data-driven or begin to be influenced by public expectations for lower borrowing costs. (Arl)
Source: Newsmaker.id