Ultimate betrayal: A hand-picked Trump appointee just blew up his agenda
Donald Trump is demanding interest rates of 1% or lower following the first Federal Reserve rate hike since 2023. Trump has branded the decision political, claiming it is a raise against him, despite inflation remaining above target for five years. The hike was supported by GOP senators and involved Kevin Warsh, a Trump appointee. While Trump previously told Warsh he might as well vote with the board, he now slams the resulting increase as a betrayal of his agenda.
Listen to Live Briefing
Real-time synthesized voice briefing · Live Feeds Desk
- ✓ The Federal Reserve implemented its first interest rate hike since 2023.
- ✓ Donald Trump is demanding an interest rate of 1% or lower.
- ✓ Trump described the rate hike as political.
What changed
The Federal Reserve implemented its first interest rate hike since 2023, triggering a public conflict between Donald Trump and Kevin Warsh.
Live updates
-
Trump slams Fed rate hike by appointee Warsh
Donald Trump is demanding interest rates of 1% or lower following the first Federal Reserve rate hike since 2023. Trump has branded the decision political, claiming it is a raise against him, despite inflation remaining above target for five years. The hike was supported by GOP senators and involved Kevin Warsh, a Trump appointee. While Trump previously told Warsh he might as well vote with the board, he now slams the resulting increase as a betrayal of his agenda.
Why it matters
The Federal Reserve typically operates independently from the executive branch to manage inflation and employment. Trump's public pressure for lower rates conflicts with the Fed's current trajectory to combat persistent inflation. This tension highlights a rift between the president and his own appointments within the central bank.
What is confirmed
- The Federal Reserve implemented its first interest rate hike since 2023.
- Donald Trump is demanding an interest rate of 1% or lower.
- Trump described the rate hike as political.
Still unconfirmed
- Trump claims that almost every item is getting cheaper.
- The rate hike is a raise against Trump.
What to watch next
- Further Federal Reserve statements on inflation targets
- Official responses from Kevin Warsh regarding the hike
- Additional GOP Senate commentary on Fed independence
confidence 90%Sources used for this update (8)
- CNBC — Trump demands 1% or lower interest rate after first Fed hike since 2023
- Yahoo Finance — Trump slams the Fed rate hike, says he told Warsh 'you might as well vote with the board'
- Fortune — 'It's a raise against Trump:' Despite inflation being ahead of target for five years, Trump brands latest hike as political
- WSJ — How Warsh Raised Rates Without Drawing Trump’s Ire
- washingtonpost.com — Thursday briefing: How the rate hike will affect you; the Kennedy Center closes; gut health; and more
- CNN — Trump’s claim that ‘almost every item’ is getting cheaper comes up against a damning reality
- thehill.com — GOP senators defend Federal Reserve’s decision
- Alternet — Ultimate betrayal: A hand-picked Trump appointee just blew up his agenda
Community Sentiment: How do you assess this situation?
Voice your perspective · Real-time aggregated sentiment from the Live Feeds community