The president of the European Central Bank (ECB) today expressed its solidarity with its counterpart at the US Federal Bank (FED), which has been targeted by the US Central Bank’s monetary policy.
“I have great respect for my honorable colleague,” Jerome Powell, Lagarde told reporters. “We have a strong and stable relationship between central banks (…) which is vital to the existence of a stable financial infrastructure that guarantees financial stability,” he added.
Earlier today, for which he said it was “very slow” in reducing interest rates. “It is more than time for Powell to end,” Trump wrote on Truth Social, while Powell’s second term as head of the Fed is due to be completed in May 2026.
The Republican leader had already called on Powell on April 4 to reduce interest rates, then considering that it would be “the perfect time” for that. The Fed has maintained from the beginning of the year steadily the main interest rates between 4.25% and 4.50%.
Yesterday Powell envisaged higher inflation and slowing economic growth due to President Trump’s commercial policy.
The US president has occasionally threatened to try to dismiss Powell. At an event at the Chicago Economic Club, the latter said that Fed’s independence “is widely understood and supported in Washington and Congress where it really matters.”
