Thursday, July 31, 2025

Will Fed Suffer from Fiscal Dominance?

Trump’s Fight with the Fed Won’t End with Rate Cuts
https://www.nytimes.com/2025/07/31/business/trump-fed-interest-rate-cuts.html
President Trump wants the Fed to slash borrowing costs, but the central bank is unlikely to take such aggressive steps even once it begins to lower interest rates. 

Related:
Investors beware: Fiscal dominance and financial repression ahead by VIVEKANAND JAYAKUMAR, The Hill - 07/13/25
https://thehill.com/opinion/finance/5397963-fed-keeping-rates-low-trump-administration/