Overview

• President Trump demanded a full percentage point cut to borrowing costs on Truth Social, accusing Fed Chair Powell of costing “our Country a fortune.”
• Fed officials signaled that rates will remain at 4.25%–4.5% at the June 17–18 meeting amid concerns that Trump’s tariffs could fuel inflation.
• The Labor Department reported 139,000 jobs added in May and a 3.9% annual increase in average hourly wages, surpassing economists’ forecasts.
• Wall Street indexes jumped over 1% on Friday after the jobs report and Trump’s aggressive call for rate relief.
• The European Central Bank has implemented eight rate cuts since last June, underscoring a growing policy divergence with the U.S. central bank.