Just minutes after convicted felon President Trump posted a command for him to cut rates – the precise timing is uncertain but it’s unlikely Powell knew of the 11:08 AM post and CNBC says only it was “shortly after” – Federal Reserve Chairman Jerome Powell on Friday told a gathering of business journalists in Virginia that he’s in a holding pattern on interest rates until he gets a clearer picture of what the hell’s going on with the economy in the coming long aftermath of “Liberation Day.”
“Our obligation is to keep longer-term inflation expectations well anchored and to make certain that a one-time increase in the price level does not become an ongoing inflation problem,” Powell said in what CNBC describes as “prepared remarks,” so no it wasn’t him responding to Trump. “We are well positioned to wait for greater clarity before considering any adjustments to our policy stance. It is too soon to say what will be the appropriate path for monetary policy,” Powell continued.
The Dow Jones Industrial Average was down 1,437 points, well below the 40,000 mark at 39,047 at 11:45 AM EDT on Friday. Not clear home much, if any, of that dent was from Powell’s remarks.