‘Dumbest’: Donald Trump alleges Jerome Powell costing US hundreds of billions as Fed keeps rates steady

Donald Trump on Thursday called Federal Reserve Chairperson one of the ‘most destructive’ people in the US government who is costing the country billions of dollars.

In a series of posts on Truth Social after the Fed's decision of not cutting interest rates once more, Trump called the central bank boss “Too Late Jerome Powell”, labelling him as an ‘American Disgrace’.

““Too Late” Jerome Powell is costing our Country Hundreds of Billions of Dollars. He is truly one of the dumbest, and most destructive, people in Government, and the Fed Board is complicit. Europe has had 10 cuts, we have had none,” he said.

“We should be 2.5 Points lower, and save $BILLIONS on all of Biden’s Short Term Debt. We have LOW inflation! TOO LATE’s an American Disgrace!,” Trump added.

In line with market expectations, the US Federal Reserve on Wednesday decided to keep the federal funds rate unchanged at 4.25-4.50 per cent.

Donald Trump calls Jerome Powell ‘dummy’

Shortly before the FED's decision, Donald Trump claimed that Jerome Powell is costing Americal billions of dollars, calling him the ‘WORST’.

“Too Late—Powell is the WORST. A real dummy, who’s costing America $Billions!” he said.

Speaking to reporters at the White House, Trump said that the man he put in the role during his last term had done a poor job.

He also mused about appointing himself to lead the US central bank, based on his dissatisfaction with Powell.

“Maybe I should go to the Fed,” Trump said. “Am I allowed to appoint myself at the Fed? I'd do a much better job than these people.”

Fed keeps rates unchanged

The Federal Reserve on Wednesday decided to keep its interest rates unchanged at 4.25-4.50 per cent, in line with economists' expectations.

Donald Trump has long criticised Fed chairperson Jerome Powell and has made it clear he will not retain him once is term ends in about nine months.

Powell, however, dismissed reporters' questions about the messages from the White House.

“We think we're in a good place,” he said, when asked about Trump's remarks, adding, “That is what matters to us.”

He also told reporters that the central bank would make better decisions if it waited a few months to understand how tariffs impact inflation, spending and hiring, in a sign that the next rate adjustment could take some time to materialise.