Former President Donald Trump is once again targeting Federal Reserve Chair Jerome Powell, this time with a handwritten, Sharpie-scrawled message criticizing Powell's interest rate policies. The note, displayed by White House Press Secretary Karoline Leavitt during a briefing on Monday, shows Trump's frustration with the Fed's current stance.
Trump's message, written in his signature block letters, reads: "Jerome - You are, as usual, 'too late.' You have cost the USA a fortune - and continue to do so - you should lower the rate - by a lot! Hundreds of billions of dollars being lost! No inflation!" He also marked a list of global central bank rates, suggesting the US should be closer to Switzerland's rate of 0.25% rather than the current 4.5%.
In a Truth Social post accompanying the image of the note, Trump stated that Powell and the Fed board "should be ashamed of themselves" and advocated for a 1% interest rate. This latest attack follows previous reports of Trump considering replacing Powell before his term ends, potentially creating a "shadow chair."
The Sharpie note itself has drawn criticism, with many mocking the unconventional method of communication. The incident highlights Trump's ongoing efforts to influence the Federal Reserve's monetary policy, despite the institution's intended independence.
Reactions and Implications
The public reaction to Trump's Sharpie scrawl has been mixed, with some supporting his call for lower interest rates and others criticizing his approach. The incident raises questions about the appropriate level of presidential influence over the Federal Reserve and the potential impact on the economy.
Economists are likely to debate the merits of Trump's arguments, considering factors such as inflation, economic growth, and global financial conditions. The Fed's response to Trump's pressure remains to be seen, but it is expected to maintain its independence in setting monetary policy.