The NPR Politics Podcast Trump's Attacks On Federal Reserve's Powell Could Bring Economic Pain
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Jul 24, 2025 
Maria Aspan, an NPR finance correspondent, joins to dissect President Trump's relentless attacks on Federal Reserve Chairman Jerome Powell. The discussion highlights the potential fallout of undermining the Fed's independence and the looming economic ramifications. They also delve into the impacts of recent tariffs, particularly on major industries like automotive, and how market dynamics influence Trump’s economic strategies. Aspan outlines the intricate dance between short-term market optimism and the long-term political risks tied to economic instability.
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Trump's Fed Rate Pressure
- President Trump attacks Fed Chair Jerome Powell because the Fed isn't lowering interest rates fast enough for him.
- Lower interest rates reduce government debt costs and consumer and business loan expenses.
Economic Risk of Bullying Fed
- Trump wants to keep U.S. debt financing costs low by pressuring the Federal Reserve.
- This violates norms of Fed independence and risks investor confidence in American economic strength.
Renovations as Pretext for Firing
- Trump is focusing on Fed building renovations as a pretext to fire Powell.
- The renovations are over budget due to expected issues and inflation, not fraud.