The Federal Reserve left the rates unchanged at 4.25% – 4.50%. That was expected. Historically, the Fed follows the 2-Year Note rate with a slight lag. The 2-year note is currently trading at 3.95%, which gives the Fed some room to cut rates. Jerome Powell was considering it, but as soon as Trump opened his mouth and started bashing the Federal Reserve chairman, begging him to cut rates, Powell did the opposite. Thank you, Mr. Chairman, for being truly independent and one of very few people who refuses to kiss the king’s ass. It may cost him his job, but it preserves democracy.
During the press conference, Powell said the following: “The U.S. economy has defied all kinds of forecasts for it to weaken, really over the last three years, and it’s been remarkable to see … again and again when people think it’s going to weaken out. Eventually it will, but we don’t see signs of that now.”
Dennis Leontyev
