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Trump says prices dropping; time for Fed to lower interest rates

todayMarch 21, 2025

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Federal Reserve Building in Washington DC, United States, FED

Source: Mesut Dogan / Getty

President Donald Trump is pressuring the Federal Reserve to lower interest rates, citing decreases in egg, grocery, and gas prices.

“Egg prices are WAY DOWN from the Biden inspired prices if just a few weeks ago. ‘Groceries’ and Gasoline are down, also. Now, if the Fed would do the right thing and lower interest rates, that would be great!!!” the president said on Truth Social late Thursday night.

The Fed recently announced it would keep rates steady despite signs of a potential economic slowdown.

Trump urged the Fed to cut rates as new tariffs are set to take effect, with Federal Reserve Chair Jerome Powell warning that these tariffs could slow economic growth and increase inflation.

Trump’s involvement in Fed decisions raises questions about the agency’s independence, as Powell’s term extends until 2026, and he cannot be fired or demoted by the president.

Last summer, Trump said he would let Powell serve out his term, “especially if I thought he was doing the right thing,” but that he would not reappoint him for another term.

Written by: weboss2022

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