Trump Slams Fed After ECB Rate Cut, Renews Pressure on Powell

Donald Trump has reignited his attacks on Federal Reserve Chair Jerome Powell, criticizing him for holding off on interest rate cuts despite slowing inflation.

Trump’s latest outburst came shortly after the European Central Bank lowered rates, adding to his argument that the U.S. is falling behind.

Labeling Powell “Too Late,” Trump declared it was time for his removal—an unusually direct demand that further erodes the longstanding norm of political non-interference in Fed affairs. Florida Senator Rick Scott echoed the sentiment, calling for fresh leadership at the central bank.

Powell, in contrast, has remained firm. Speaking in Chicago, he reaffirmed that the Fed’s independence is protected by law and signaled no intention to leave before his term ends in 2026.

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Crypto Market Faces Chill as Sentiment Sours and Capital Dries Up

Market expectations mirror the divide. While few expect a rate cut in May, the odds rise to over 65% for June. Crypto markets, especially Bitcoin, remain highly reactive to Fed liquidity signals—a 2024 study found over 65% of Bitcoin’s price action is tied to monetary conditions.

Meanwhile, real-time inflation trackers like Truflation suggest that current cost pressures are lower than official data shows, potentially justifying a looser policy sooner rather than later.

With politics and market forces colliding, pressure on the Fed to act is mounting fast.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.