Trump's Unshakable Stance on Powell and Tariffs: A Game of Economic Power

Former U.S. President Donald Trump confirmed he will retain Jerome Powell as Federal Reserve Chairman until 2026, while criticizing him and urging interest rate cuts. Trump's tariff policies continue to cause market volatility, with mixed signals about their impact on the economy and pending trade negotiations.

In a recent interview, Donald Trump, the former U.S. President, confirmed his decision to retain Jerome Powell as Federal Reserve Chairman until the end of his term in 2026. Despite dismissing him as "a total stiff," Trump acknowledged Powell's crucial role and anticipated future interest rate cuts.

Trump's reiterated appeals for rate reduction reflect his ongoing contention with the Fed, aligning with his broader strategy to reshape the global trading system through increased tariffs. This strategy, however, has generated significant market volatility, with Trump attributing any economic downturn to President Joe Biden's policies.

Trump's assertive tariff policies have stirred international markets, leading to bilateral trade tensions and renegotiations. While he boasts about reducing the U.S. trade deficit and declining energy costs, the uncertainty lingers, heightening concerns over potential long-term impacts on global commerce and domestic economic stability.

(With inputs from agencies.)