Summary
- President Donald Trump criticized Federal Reserve Chair Jerome Powell, saying the rate cuts were too late.
- U.S. nonfarm payrolls in August came in far below market expectations, and the unemployment rate stood at 4.3%.
- Markets say that, based on this weak employment, the September FOMC could cut the policy rate, and even consider a 50bp 'big cut'.
Donald Trump, the U.S. president, criticized Jerome Powell, chair of the U.S. Federal Reserve (Fed), saying the rate cuts were too late.
On the 5th, President Trump wrote on his social media platform Truth Social, "Jerome 'Too Late' Powell should have lowered rates earlier. As always, he is 'too late'."
Earlier on the same day, U.S. nonfarm payrolls for August increased by only 22,000 from the previous month, coming in far below market expectations (75,000). The unemployment rate was 4.3%. Markets are citing this weak employment as a reason to suggest a policy rate cut at the September Federal Open Market Committee (FOMC), and even the possibility of a 50bp (0.5 percentage point) 'big cut'.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
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