“Federal Reserve microphone” Nick Timiraos said that Powell played down any speculation that the Federal Reserve is seeking to reduce economic weakness caused by Trump's tariffs by cutting interest rates. Powell mentioned the word “wait” 22 times during the press conference to emphasize that the Federal Reserve is not in a hurry to act. This statement revealed that Trump's trade policy caused monetary policy differences between the US and other economies. The reason is simple. Other economies have not raised taxes on imported goods drastically. The problem they are facing is weakening demand and employment, but there is no impact of rising prices that the Federal Reserve may have to deal with later this year. Furthermore, since the US economy has just experienced a period of high inflation, the Federal Reserve believes that it cannot risk pre-emptive interest rate cuts to support employment slowing down, so as not to increase price pressure in the short term. As a result, the Federal Reserve's position is different from that of Europe, Canada, and the Bank of England. Powell hinted that the Federal Reserve will cut interest rates only after seeing evidence of a sharp slowdown in economic growth, and probably cut interest rates rapidly.

“Federal Reserve microphone” Nick Timiraos said that Powell played down any speculation that the Federal Reserve is seeking to reduce economic weakness caused by Trump's tariffs by cutting interest rates. Powell mentioned the word “wait” 22 times during the press conference to emphasize that the Federal Reserve is not in a hurry to act. This statement revealed that Trump's trade policy caused monetary policy differences between the US and other economies. The reason is simple. Other economies have not raised taxes on imported goods drastically. The problem they are facing is weakening demand and employment, but there is no impact of rising prices that the Federal Reserve may have to deal with later this year. Furthermore, since the US economy has just experienced a period of high inflation, the Federal Reserve believes that it cannot risk pre-emptive interest rate cuts to support employment slowing down, so as not to increase price pressure in the short term. As a result, the Federal Reserve's position is different from that of Europe, Canada, and the Bank of England. Powell hinted that the Federal Reserve will cut interest rates only after seeing evidence of a sharp slowdown in economic growth, and probably cut interest rates rapidly.