Trump, Powell and Markets
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With the caveat that this is a low-probability event, we discuss what the implications of an early departure of Powell would mean for Treasuries and the dollar. We assume that an early departure of Powell would be followed quickly by a replacement super-dove as head of the Federal Reserve.
A Fed chief warmer to cutting rates could have a mixed effect on equities but could weaken the U.S. dollar, increase volatility in the Treasurys market and raise longer-term rates.
President Trump’s public demand for Powell’s resignation has ignited fears of a brewing crisis at the Fed, sending crypto investors into high alert.
Potential removal of Fed Chair Jerome Powell could disrupt markets, spike inflation expectations, and impact the USD and bonds.
The latest federal data release showed nonfarm payrolls increasing by 147,000, edging down but still in line with previous readings, while adjusting April and May figures upward.
President Donald Trump stopped short of calling for Federal Reserve Chairman Jerome Powell ‘s removal during a White House meeting in which the president called Powell “terrible.” “Oh, he ...
In his testimony before the U.S. House of Representatives and Senate this week, Federal Reserve Chairman Jerome Powell at times found himself on the defensive regarding the Fed’s immobility in making any rate cuts to the federal funds rates the first half of this year.