Fed chairman Jerome Powell Resist Trump's rate cutting question, says 'Monetary policy will be based on non-political analysis' | Today news

Federal Reserve chairman Jerome Powell met with Donald Trump in the White House, assured the president that the Fed would base monetary policy on objective data to support employment and stable prices, says “monetary policy will be based on non-political analysis”. Fed chairman Jerome Powell has confirmed the objective approach of the Federal Reserve to determine interest rates, despite President Trump requested to make rate cuts. Reuters/Kevin Lamarque/File Photo (Reuters) Federal Reserve Chairman Jerome Powell assured US President Donald Trump in a meeting held in the White House on Thursday (May 29), that the Fed ‘monetary policy would, as required by law, to support maximum employment and stable prices and these decisions on a meticulous, objective take. ‘ Trump is pushing on rate cuts. The insurance has come face to face during their first meeting since Powell held office in January. The meeting, confirmed by the White House and the Fed, highlighted ongoing tensions over interest rate policy. During the meeting, Trump reportedly told Powell that he made a ‘mistake’ by not lowering interest rates, according to Reuters. White House spokeswoman Karoline Leavitt said: “The president did say he believes the Fed chairman makes a mistake by not lowering interest rates, which we have an economic disadvantage for China and other countries.” Fed emphasizes the data-driven policy in a statement to the meeting, and the Federal Reserve has repeated its independence. “President Powell did not discuss his expectations for monetary policy,” the Fed said, “except to emphasize that the path of policy depends completely on incoming economic information and what it means to the prospects.” Interest rates are stable – for now this month, the Fed maintained its policy rate in the series of 4.25% -4.50%, where it has stayed since December. Policymakers have indicated the possibility of holding rates for several months, waiting for clarity on economic data and tariff policies. Minutes from the Fed’s May meeting show the increasing concern that trade tariffs and policy uncertainty may slow down economic growth or the inflation of the fuel. Markets expect rate cuts this fall this fall is despite the cautious attitude of the Fed, the financial markets price in a possible rate reduction in September, with a second one expected in December. A history of friction between Trump and Powell Trump elevated Powell to Fed chairman during his first term, but quickly became frustrated about Powell’s decisions about the pace. Although Trump expressed a desire to see Powell removed, he also said that he did not intend to fire him. Powell’s return to the White House This meeting was the first visit to the White House since November 2019, when he met with Trump and the then Treasury Secretary Steven Mnuchin. His most recent meeting with a sitting president was with Joe Biden and Treasury Secretary Janet Yellen. Powell made it clear that such meetings are always at the request of the president and have never been initiated by the Fed. (With Reuters inputs) keep abreast of the latest trend, Indian, world and American news. Get news and key updates here on Mint! Business Newsnssus Newsfed Chairman Jerome Powell has been resisted