US President Donald Trump: US President Donald Trump has once again called on Federal Reserve Chair Jerome Powell to cut interest rates, labeling him "Too Late" following the release of employment data that fell short of expectations for May.
According to Anadolu Agency, Trump took to social media to express his dissatisfaction, pointing to the Automatic Data Processing (ADP)'s non-farm job numbers. "ADP NUMBER OUT!!! 'Too Late' Powell must now LOWER THE RATE," Trump exclaimed, expressing his frustration with Powell, whom he has persistently urged to reduce the interest rate to stimulate economic growth. He further criticized Powell, saying, "He is unbelievable!!!" and highlighted the European Central Bank's frequent rate cuts, stating, "Europe has lowered NINE TIMES!"
The ADP's non-farm employment figure stood at 37,000 for May, marking the lowest level since March 2023, and falling significantly below market expectations of 111,000. Trump's repeated entreaties for a rate cut have been accompanied by derogatory remarks, as he has labeled Powell "Too Late," "a fool," and "a major loser." Despite hinting at the possibility of removing Powell from his position before his term ended, Trump later clarified that he had "no intention" of doing so.
Despite mounting pressure from the President, Jerome Powell has maintained the Federal Reserve's stance of keeping the policy rate unchanged for the last five meetings. In contrast, the European Central Bank is preparing to lower interest rates on Thursday, with the market anticipating a 25 basis point cut following a drop in the eurozone's annual inflation to 1.9% in May, which is below the central bank's 2% target.