Stephen Miran, who has joined the Fed board on leave as Chairman, Council of Economic Advisers, made his presence felt at his first FOMC meeting. He voted for a 50 bp cut in the policy rate while the others voted for a cut of 25 bp.
Seven members of the FOMC indicate they do no expect any rate cut for the rest of the year. Another two expect just one cut. Miran projects a drop of another 1.25 bp by the end of the year. Trump's two appointees, Michelle Bowman and Christopher Waller, voted for 25 bp cut. Waller did so despite being in contention for the Chairman's post when it falls vacant next year.
Trump's bid to get the Fed to make a steeper cut in the rate has not succeeded. Looks as though the Fed will not change tack as long as Powell is at the helm.
What would be Trump's next move?
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