Trump: 'Mr. Too Late' Powell Strikes Again
President Donald Trump has once again turned up the heat on Federal Reserve Chair Jerome Powell, this time with an handwritten Sharpie note that's equal parts personal vendetta and political spectacle. Revealed during a White House briefing, the note reportedly accuses Powell of being late in his monetary policy decisions and claims his actions have cost the United States hundreds of billions of dollars. Trump's missive urges a significant cut in interest rates, underscoring his ongoing campaign to pressure the Fed amid simmering economic tensions.
A Sharpie Note That Speaks Volumes
The note, boldly scrawled in Trump's trademark all-caps handwriting, was reportedly displayed by White House press secretary Karoline Leavitt during a briefing, instantly grabbing headlines and social media attention. Written on a chart listing central bank interest rates from around the world, Trump's message reads: "Jerome, you are, as usual, 'too late.' You have cost the USA a fortune and continue to do so. You should lower the rate, by a lot! Hundreds of billions of dollars being lost," as reported by The New York Post. The note is signed with Trump's unmistakable signature, adding a personal touch to the public rebuke.
The note was also posted on Trump's Truth Social account, where he doubled down on his criticism, calling Powell and the Federal Reserve Board "ashamed of themselves" for allowing the current economic situation to persist, as reported by The New York Post.
The Political Theater Behind the Note
Trump's handwritten note is more than just a message to Powell; it's a continuation of a months-long campaign to publicly pressure the Fed to cut interest rates. Since the Federal Open Market Committee (FOMC) decided to keep rates steady between 4.25% and 4.5% in December, Trump has repeatedly criticized Powell for what he sees as a failure to act swiftly enough to stimulate the economy. His attacks have ranged from calling Powell "Mr. Too Late" to labeling him "stupid" in various media appearances, as reported by The Daily Beast.
This latest note fits into a pattern of Trump's flair for dramatic, handwritten missives that serve as both political statements and media events. The style of the note reportedly even drew comparisons to the infamous "Burn Book" from the movie "Mean Girls," where a character vents her frustrations in a similarly sharp and pointed manner. The theatricality of the note amplifies Trump's message, making it impossible for the media and public to ignore.
Why This Is Unusual
What makes Trump's note particularly striking is the breach of the traditional separation between the executive branch and the Federal Reserve. The Fed operates independently from the White House to insulate monetary policy decisions from political pressures. This independence is designed to maintain market stability and prevent short-term political considerations from influencing long-term economic health.
Trump's public and personal attacks on Powell challenge this norm, raising questions about the appropriate boundaries between the presidency and the central bank. While presidents have the authority to nominate Fed chairs and governors, the Fed's policy decisions are made collectively by the FOMC, not unilaterally by the chair or the president. Powell's term as chair ends in May 2026, and while Trump cannot fire him over policy disagreements, he has urged Powell to resign and is reportedly considering successors who would align more closely with his economic views.
The Stakes: Economic Tensions and Rate Cuts
The backdrop to Trump's note is a complex economic environment. Inflation remains above the Fed's 2% target, and policymakers have been cautious about cutting rates too soon. Powell has emphasized the need to assess the impact of trade policies and tariffs before making further moves. Meanwhile, other central banks, such as those in the Eurozone, have already cut rates multiple times in the last year, benefiting from lower inflation and fewer trade-related uncertainties.
Goldman Sachs analysts moved up their projection for the next Fed rate cut to September in the last month, citing a smaller-than-expected impact from tariffs and signs of labor market softness. They reportedly forecast three quarter-point cuts this year, with the terminal rate dropping to between 3% and 3.25%. However, experts say the Fed's July meeting is unlikely to see a cut unless employment data disappoints significantly.
Federal Reserve Bank of Atlanta President Raphael Bostic has urged patience, noting that labor markets remain solid and inflation pressures may take time to ease. He suggested that the Fed has "some luxury to be patient" given the current uncertainties, as reported by The New York Post.
Who's Next at the Fed?
With Powell's term ending next May, speculation is rife about who Trump might appoint as the next Fed chair. Treasury Secretary Scott Bessent, who has expressed interest in the role, has indicated that the transition will likely be conventional, with a new chair appointed after Powell's term concludes. Other potential candidates include Fed Governor Christopher Waller, who has advocated for rate cuts, and former Fed Governor Kevin Warsh.
Trump has reportedly made it clear he will not appoint anyone who does not support immediate interest rate cuts, signaling a desire for a more aggressive monetary policy stance than the current Fed leadership has pursued.
The Show Must Go On
Whether you see Trump's handwritten note as a bold political move or a breach of decorum, it undeniably adds a new chapter to the ongoing drama between the White House and the Federal Reserve. The note's theatrical presentation and sharp language ensure it will be remembered as a striking example of Trump's unique approach to political communication, one that blends personal grievance with public spectacle.
For those watching the economy and the Fed's next moves, the note is a reminder that monetary policy is not just about numbers and data; it's also about power, influence, and the high-stakes game of political theater.
References: Trump ramps up pressure on Fed's Powell in handwritten note: 'You should lower the rate by a lot!' | Trump Sends 'Mean Girls'-Style Sharpie Note to Jerome Powell | See Trump's Personal Note to Powell Complaining About Interest Rates - Business Insider
