Trump's Fed Feud: Impact on U.S. Markets

Investors are unnerved as President Trump's criticism of Federal Reserve Chair Jerome Powell raises concerns about central bank independence amid ongoing trade tensions, significantly affecting U.S. stock index futures. Doubts over monetary policy and tariffs continue to weigh on the U.S. economy as markets react with volatility.

Investors were on edge Monday as U.S. stock index futures fell following President Donald Trump's sharp criticism of Federal Reserve Chair Jerome Powell, sparking fears about central bank independence amid a turbulent trade war climate.

President Trump's comments have intensified speculation, with White House economic adviser Kevin Hassett hinting at the possibility of Trump's team considering firing Powell. Trump's repeated calls for lower interest rates have raised questions over the Fed's independence, contributing to investor skepticism about the direction of U.S. monetary policy.

The fallout from Trump's remarks was evident as Dow, S&P 500, and Nasdaq futures plummeted, while the dollar weakened and gold prices soared. Investors are bracing for potential economic setbacks amid trade uncertainties, and recent corporate earnings from major companies will provide further insights this week.

(With inputs from agencies.)