Source: Cointelegraph Original: "{title}"
U.S. President Trump has once again criticized Federal Reserve Chairman Jerome Powell, accusing him of being too slow in addressing interest rate cuts and intensifying a long-standing conflict that could undermine the political independence of the Federal Reserve.
In the context of the European Central Bank (ECB) lowering interest rates again on April 17, Trump posted on Truth Social the same day that even though U.S. inflation has decreased, “'too late' Powell still has not made the necessary response.”
Trump wrote: “I really wish I could fire Powell soon!”
Florida Senator Rick Scott agreed with Trump, stating, “It’s time to change the leadership at the Federal Reserve.”
Trump's public criticism of the Federal Reserve breaks a decades-long tradition in U.S. politics aimed at protecting the Fed from political interference, including actions by the executive branch to replace the Fed chairman.
Federal Reserve Chairman Powell stated in a speech at the Chicago Economic Club on April 16 that the Fed's independence “is granted by law.” Powell has previously indicated his intention to serve out his term, which will end in May 2026.
Cryptocurrencies and risk assets closely monitor the Fed's movements
The Federal Reserve has a significant impact on financial markets, and its monetary policy decisions affect dollar liquidity and shape investor sentiment.
Since the COVID-19 pandemic, the crypto market has increasingly been influenced by Fed policies, as the correlation between dollar liquidity and asset prices has continued to strengthen.
This phenomenon is further confirmed in an academic paper co-authored by Professor J Miao from Kingston University in London in 2024. The research shows that liquidity conditions can currently explain over 65% of Bitcoin (BTC) price fluctuations.
As inflation eases and market turmoil from trade wars intensifies, the Fed faces increasing pressure to cut interest rates. However, Powell reiterated that the Fed will continue to take a wait-and-see approach, assessing the economic impact of tariff policies.
The Fed is expected to maintain its “wait-and-see” policy stance at its next meeting in May, with federal funds futures prices indicating that the market sees less than a 10% chance of a rate cut in May. However, for the June meeting, market bets on a rate cut have risen to over 65%.
Related: Ethena Labs and Securitize unveil the “Converge” network roadmap
免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。
