President Donald Trump criticized Federal Reserve Chair Jerome Powell and the U.S. central bank on Truth Social, accusing them of creating inflation through their policies. The criticism came after the Fed maintained a key interest rate during Trump’s first term, making it the first such decision in his presidency.
In his statement, Trump blamed Powell for contributing to inflation, saying they “failed to stop the problem they created.” He also criticized them for a “terrible job on bank regulation,” as detailed in his post on Truth Social.
Powell, who has emphasized the independence of the central bank from external influence, acknowledged the criticism but downplayed its importance during a news conference. Trump’s comments came shortly after he expressed support for lowering interest rates during his 2024 campaign.
The former president also outlined plans to reintroduce regulation and focus on economic issues like manufacturing, while questioning whether he would reappoint Powell by his term’s end in 2026.
In response, Trump cited the struggles of the Biden administration under inflationary pressures stemming from the COVID-19 pandemic. He claimed that if the Fed had focused less on progressive ideals such as diversity and climate change, inflation might never have been an issue.
Source: https://www.cnbc.com/2025/01/29/trump-accuses-fed-powell-of-creating-inflation-on-heels-of-rate-decision.html