Fed, Trump and Powell
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MiBolsilloColombia on MSNGOP senators push back on Powell ouster, warn of market turmoilRepublican senators warned Trump not to fire Fed Chair Jerome Powell, citing risks to market stability and the Fed’s independence.
A potential ouster of Federal Reserve chair Jerome Powell by U.S. President Donald Trump could "collapse" both the currency and bond markets and would lead to a spike in inflation expectations, Deutsche Bank said on Friday.
If President Trump gets his way and removes Jerome Powell as chairman of the U.S. Federal Reserve, the market reaction would be swift and brutal, Deutsche Bank’s George Saravelos argues. It could collapse the currency and bond markets,
The 30-year Treasury has tumbled in July as investors mull over US inflation, the government spending outlook and the path for Fed interest-rate cuts. Last week’s consumer inflation figures sparked a selloff that pushed the 30-year yield above 5% for the first time since June. On Tuesday, it hovered around 4.95%.
Explore why Fed independence is crucial for market stability, the impact of tariffs on inflation, and the risks of undermining Federal Reserve credibility. Read what investors need to know.
Stocks were taken on a wild ride Wednesday as a White House official indicated to CNBC that Trump was moving closer to firing Powell from his post as Fed Chair.