Former President Donald Trump has once again lashed out at Federal Reserve Chair Jerome Powell, accusing him and the central bank’s board of harming the economy by keeping interest rates too high. In a fiery post on his Truth Social platform, Trump wrote:
“The Fed Board has done nothing to stop this ‘numbskull’ from hurting so many people. In many ways, the Board is equally to blame!”
The outburst comes just weeks before the Fed’s July policy meeting, where officials will decide whether to adjust borrowing costs amid growing economic uncertainty.
Waller Open to Replacing Powell—If Trump Asks
Amid Trump’s ongoing criticism of Powell, Federal Reserve Governor Christopher Waller revealed he would accept the role of Fed chair if offered by Trump. In an interview with Bloomberg TV, Waller recalled:
“In 2019, the president contacted me and asked, ‘Would you serve?’ I said yes. If he asked me again, I would do it—but he hasn’t reached out.”
Waller, a Trump appointee to the Fed in 2020, has been a vocal advocate for lower interest rates, arguing that the economy shows signs of weakening despite low unemployment.
Why Waller Wants a Rate Cut Now
Waller’s stance contrasts with Powell’s more cautious approach. Key reasons he supports a July rate cut include:
✔ Limited inflation risk from Trump’s trade policies
✔ Slowing private-sector hiring (despite strong headline jobs numbers)
✔ Preemptive action needed to avoid an economic slowdown
As reported by CNBC, Waller pointed to underlying labor market data suggesting softening demand, justifying an insurance cut to sustain growth.
Trump’s Long-Running Feud With Powell
Trump has repeatedly clashed with Powell over monetary policy, including during his presidency when he publicly pressured the Fed to slash rates. His latest remarks signal that, if re-elected, he may push for leadership changes at the central bank.
Financial analysts, however, warn that politicizing the Fed could undermine its independence. The Wall Street Journal notes that Powell has resisted White House pressure, focusing instead on data-driven decisions.
What’s Next for Interest Rates?
With the Fed’s July 30-31 meeting looming, markets are split on whether a cut will materialize. While Waller and a few other officials lean dovish, Powell has emphasized the need for more evidence of cooling inflation before acting.
