Trump Running the Fed
President Trump is now running Federal Reserve Policy. Remember last Fall when Fed Chairman Powell made statements about raising interest rates? He cited a growing economy as evidence it was time. Powell even raise rates twice. Doing so brought ire from Trump, whose public criticisms of Fed policy have been unprecedented. Trump's latest Fed Reproach So how has Powell adjusted to Trump’s reproaches? Powell has folded the Fed tent. Recent Fed announcements indicate a future course closely aligned with Trump’s expressed desires, pledging soon to lower rates and even usher new rounds of “quantitative easing.” QE, as it is known, is an act by the Federal Reserve Central Bank to release dollars into the economy, supposedly in exchange for valued assets. Recall during Obama’s Presidency, the Fed bought up mega-amounts of worthless assets from Wall Street Banks, along with U.S. Treasury bonds, to the tune of almost $4 trillion. Those dollars...