Trump Predicts Fed Chairman’s Departure and Sparks Economic Debate

Key Points

1. Trump stated during a press briefing in Scotland that Powell would 'very soon' step down, adding 'I’ll miss him.'

2. Trump's remarks introduced uncertainty ahead of the FOMC meeting on July 30, despite Powell's cautious stance on interest rates.

3. Trump referenced the European Central Bank’s 11 interest rate cuts, suggesting a 'smart person would cut rates,' escalating tensions between the White House and the Fed.

4. Powell remains focused on protecting the labor market, while Trump’s comments may prompt the Fed to reassess its future projections.

5. Employment data shows a slow but steady increase as the FOMC meeting approaches, though a surprise rate cut on July 30 is unexpected.