Trump tariffs live updates: Stocks fall as Trump calls Fed chair to lower rates ‘now’

Stocks took a hit on Monday, with the Dow plummeting more than 800 points in response to President Donald Trump’s recent criticism of Federal Reserve Chair Jerome Powell. Trump’s post on Truth Social called for “Preemptive Cuts” in interest rates, citing lower energy costs and food prices as evidence that there is virtually no inflation.

The S&P also saw a decline of more than 2%, while the NASDAQ was down nearly 3%. Despite the market turmoil, the price of treasuries and the value of the dollar were also lower, defying the usual trend of rising during times of economic uncertainty.

Trump’s call for interest rate cuts to prevent a slowdown in the economy drew attention to Powell’s perceived hesitancy in taking action. Trump criticized Powell for being “Too Late” in responding to economic trends, pointing to Europe’s seven rate cuts as an example of proactive measures that could be taken.

The ongoing debate over interest rates and inflation underscores the delicate balance that policymakers face in managing the economy. As investors navigate the uncertainty in the market, all eyes will be on the Federal Reserve for any potential shifts in monetary policy.

With these developments shaping the financial landscape, it is crucial for investors to stay informed and adapt their strategies accordingly. As the situation continues to evolve, market participants will need to closely monitor economic indicators and policy decisions to navigate the volatility ahead.