Trump Pressures Fed for More Rate Cuts as Mega Banks Drain the Balance Sheet

U.S. President Donald Trump is pressuring the central bank to cut interest rates even further as a spike in oil prices has offset the Federal Reserve’s ‘normalization’ tactics like rate-cutting and overnight repos. Additionally, the mega bank JP Morgan Chase (JPM) is being blamed for the lack of liquidity in the repo market’s cash reserves, as JPM’s recent reduction move accounted for a third of the Fed’s bank reserves for Q3.

Also Read: Central Banks in Panic Mode – Extreme Tactics Like Helicopter Money Discussed

Trump Calls the Fed’s Easing Tactics “Pathetic”

Central banks are in a state of panic. No matter what they do, the economy is not being guided well by their easing tactics. In the last few months, at least 19 central banks have started participating in monetary easing practices in order to combat what’s called “stagflation.” The term refers to a period of slow economic growth combined with rising prices across products and…