During his address on Wednesday, U.S. President Donald Trump stated that the Federal Reserve should lower interest rates and indicated that rate cuts would go hand in hand with the upcoming tariffs the U.S. government intends to impose.
Trump's remarks come after the Federal Reserve decided to maintain interest rates at its most recent Federal Open Market Committee meeting, which took place on January 29, after having cut rates three times last year.
During his testimony before Congress yesterday, Federal Reserve Chair Jerome Powell emphasized that the Federal Reserve would not lower interest rates until they see real progress in inflation slowing to the 2% target or a clear weakening in the labor market.
Data released today on inflation in the United States showed that the Consumer Price Index recorded its fastest growth in 7 months, surpassing market expectations in January, with core inflation registering at 3.3%.
