President Donald Trump has found a new way to criticize Federal Reserve Chairman Jerome Powell.
On Monday, White House press secretary Karoline Leavitt said Trump sent a handwritten personal note to Powell, the latest in a string of complaints about the Federal Reserve’s refusal to cut the benchmark interest rate.
“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!” Trump wrote.
Powell has repeatedly said that the Fed is waiting to see the effect of Trump’s trade policies before making interest rate decisions.
“We expect a meaningful amount of inflation to arrive in the coming months,” Powell said earlier this month, adding, “Someone has to pay for the tariffs.”
The Eurozone has cut its rates seven times in the last year, but central bankers there aren’t facing the same trade concerns. Europe has also seen inflation come down quickly this year, with a headline rate in the Eurozone falling from a 2.5% annual rate in January to just 1.9% in May. Meanwhile, US inflation has been stickier, and has been hovering around 2.3% since March.
Trump posted the letter on Truth Social, where he added, “Jerome ‘Too Late’ Powell, and his entire Board, should be ashamed of themselves for allowing this to happen to the United States.”
Trump appointed Powell to the central bank during his first term but has since soured on the investment banker. The president has flirted with firing Powell, a power he might not even have to begin with, but so far, he has settled on replacing Powell when his term as chairman ends next year.
Powell alone does not have the power to cut rates. Instead, the Fed’s Open Market Committee makes rate decisions. The committee has 12 members, of whom the chairman is just one. Federal Reserve Governor Christopher Waller, who also serves on the FOMC, told CNBC last week the central bank could look at cutting rates as soon as next month.
Trump’s criticism continues to add to his unprecedented efforts to challenge the central bank’s independence. A spokesperson for the Fed did not immediately respond to a request for comment from Business Insider.
You can see the note for yourself here:
Andrew Caballero-Reynolds/AFP/Getty Images
