A big Fed rate cut gives Donald Trump and Jerome Powell something else to disagree about

Published On Sep 18, 2024, 4:25 PM

The Federal Reserve's recent decision to cut interest rates by half a percentage point (50 basis points) has led to contrasting views on the state of the U.S. economy. Donald Trump argues that the cut signals a weak economy, while Fed Chair Jerome Powell maintains that the economy is strong and that the rate cut is a proactive measure. President Biden supports Powell's view, stating that both inflation and interest rates are falling amid economic strength. The differing opinions highlight the ongoing political debate surrounding economic policies, especially with the upcoming election looming.