Donald Trump says he will only choose the Federal Chair that reduces interest rates

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Donald Trump said he would only choose a new president of the federal reserve that will reduce interest rates in the United States, as he called the central bank to reduce borrowing costs to 1 percent.

The president also renewed his attack on the current chair Jay PowellHe describes him as a “stubborn mule” and says he “will love him to resign if he wants.” Powell said that he would serve his term that ends in May 2026.

“Who will have lower prices,” Trump told reporters at the Oval Office on Friday. Choosing it to replace Powell. “If I think someone will keep the rates that I will not put in.”

Trump’s comments were the latest barrage in an unprecedented attack by an American president at the head of the country’s central bank. He has repeatedly criticized the Federal Reserve decision to keep it Rates Waiting for 4.25-4.5 percent this year, stopping the cutting cycle that started in 2024.

“I think we should pay (rates) 1 percent at the present time,” Trump said. He added that he told his administration, “Not to do any debts exceeding nine months or so,” until the new Federal Reserve Chair takes his post. Despite his comments, the cabinet is scheduled to sell long -term bonds within the next two weeks.

Trump said earlier this week that he had already had a brief list of “three or four names” to operate the Federal Reserve, although the White House told the Financial Times that there is no “imminent” decision.

Bringing his pressure on the first speculation that he can choose the “shade feeding chair” with which he agrees to reduce prices quickly.

Christopher Wald, the ruler of the Federal Reserve, who is seen as a candidate to replace Powell, reduced a rate in July. Kevin Haysit, another candidate who is now chairing the National Economic Council at the White House, has also supported borrowing costs.

Scott Beesen, the US Treasury Secretary, also said that the return on treasury notes for two years indicates that the Federal Reserve should reduce prices.

Another candidate, former Federal Reserve Governor Kevin Wrash, has indicated that he believes that the central bank’s focus should be on the fight against inflation, indicating that he is more honest than other candidates.

Many believe that the shadow strategy can have opposite results.

“Although it looks a smart idea, it does not stand up,” said Robert Barbira, Economist at Johns Hopkins University. “The reason is that the Federal Reserve is not King’s Reserve.”

The Federal Reserve Chairman determines interest rates, along with 18 other members in the Federal Open Market Committee. Eleven besides the chair also has a vote.

“If the next chair tries to bend the muscles that he has not yet had, he will mainly harm the relationships with the rest of the committee,” said John Faust, the former Special Adviser to Powell, who is now in Jones Hopkins. “This would reduce the effect of the new chair that will come.”

Raguram Rajan, an academic of the University of Chicago who has been subjected to political pressure as President of the Indian Reserve Bank, said the unique federal reserve structure-with a central council supported by 12 private regional banks-of the most important prices isolated from being affected by the president’s speech.

Rajan said that

Additional reports by Kate Duguid in New York