Trump possibly nudging Powell to cut rates could mean cheaper borrowing, boosting global liquidity. Trump has consistently pressured Powell to lower rates, as seen in his public statements throughout early 2025. He’s argued that cutting rates would align with his economic agenda, including tariffs and boosting American manufacturing, and has claimed it would counter inflation.
Lower rates could boost liquidity by easing borrowing costs worldwide, especially if the U.S. dollar weakens, encouraging capital flows.
