Overview

• President Trump renewed his call for the Federal Reserve to lower interest rates, leveraging April's 177,000 nonfarm payroll gain, which exceeded expectations.
• Trump highlighted falling prices for gasoline, groceries, and energy, alongside tariff-driven revenues, as evidence of a strong economy ready for rate cuts.
• The president framed the economy as being in a 'transition stage' with no inflation, though the Fed remains cautious about persistent price pressures.
• Trump's push for rate cuts continues his public feud with Fed Chair Jerome Powell, with recent reports suggesting the White House explored legal mechanisms for Powell's removal.
• The Federal Reserve maintains a data-dependent approach, balancing economic growth against inflation risks as it prepares for its next meeting.