'Mr. Too Late...': Donald Trump slams Fed Chair Powell as 'major loser' over rate inaction, warns of economic slowdown

President Donald Trump fired off a scathing attack on Federal Reserve Chairman Jerome Powell, blaming him for stalling the economy and demanding immediate action on interest rates. The post, made on Trump’s Truth Social account, came as markets reeled and speculation mounted over whether Trump could legally oust Powell before his term ends in 2026.

“Preemptive Cuts in Interest Rates are being called for by many. With Energy Costs way down, food prices (including Biden’s egg disaster!) substantially lower, and most other ‘things’ trending down, there is virtually No Inflation,” Trump wrote.

“With these costs trending so nicely downward, just what I predicted they would do, there can almost be no inflation, but there can be a SLOWING of the economy unless Mr. Too Late, a major loser, lowers interest rates, NOW,” he added.

Trump pointed to Europe as a contrast, noting, “Europe has already ‘lowered’ seven times. Powell has always been ‘To Late,’ except when it came to the Election period when he lowered in order to help Sleepy Joe Biden, later Kamala, get elected. How did that work out?”

The public pressure on Powell — appointed by Trump himself in 2018 — coincides with quiet legal discussions inside Trump’s camp about whether Powell can be fired before his term expires in May 2026. Powell has maintained that a sitting president does not have the legal authority to remove the Fed chair.

Meanwhile, financial markets reacted swiftly. The Dow Jones Industrial Average plunged 750 points, nearly 2%, in the first hour of trading. The Nasdaq dropped 2.6%, deepening the unease among investors already jittery over Trump’s tariff threats.

The US dollar slid to its lowest since 2022. Gold prices, in a classic flight-to-safety move, surged past the $3,400 mark, hitting a new record. The 10-year Treasury yield also inched higher amid the turmoil.