Federal Reserve Chairman Powell meets with President Trump, did not discuss monetary policy expectations
On May 29, local time, the Federal Reserve issued a statement saying that at the invitation of the President, Federal Reserve Chairman Powell met with Trump at the White House to discuss economic development issues including growth, employment, and inflation.
The statement indicated that Powell did not discuss his expectations for monetary policy but emphasized that the policy path would entirely depend on upcoming economic information and its impact on the economic outlook.
Powell stated that the Federal Reserve's decision-making body, the Federal Open Market Committee, would formulate monetary policy in accordance with the law to support employment and stable prices and would make these decisions based entirely on prudent, objective, and non-political analysis.
Later that day, White House Press Secretary Levitt confirmed that the two had met. She added, "The President did say that he thinks it is a mistake for the Federal Reserve Chairman not to lower interest rates."
Trump had previously frequently criticized Powell over the issue of interest rate cuts, calling him "stupid" and a "big failure," even threatening to remove him from office. Powell remained silent in the face of criticism, only pointing out that Trump's request for him to resign was "illegal."
