UBS Global Wealth Management Portfolio manager Angie Pneummon discussed the market response amid trade tension and advised customers and investors.
chairman Donald Trump On Friday, Federal Reserve President Jerome Powell called for reducing interest rates from a full percentage point.
“It’s too late in the fed ‘is a disaster!” Trump has written in a post on Truth Social. “Europe has a 10 -rate cut, we have no one. Despite that, our country is doing very well. A full point, go for rocket fuel!”
Trump’s post came after releasing the labor report of the Labor Department, which revealed that the US economy added 139,000 jobs a month. The figure was stronger than the estimates of Economists voted by LSEG, who took advantage of 130,000 jobs, but cooler compared to a low revised increase of 147,000 jobs added in April.
Jerome Powell, Wright, speaks after being nominated by President Donald Trump at the Rose Garden of the White House on 2 November 2017, for the President of the Federal Reserve. (Through Saul Loaib/AFP Getty Image)
The increase in job growth in May amidst economic uncertainty
Also follow President’s comments European Central Bank (ECB) Decision to cut interest rates on Thursday.
The ECB has now reduced the cost of borrowing by eight times, or 2 percent marks, since last June, a eurozone has been demanding to carry forward the economy that was struggling even before the US economic and trade policies.
with Inflation is now safely in line With its 2% target and well cuts, attention has moved about the front path in the ECB message, especially since 2%, the rates are now in the “neutral” range where they neither stimulate nor grow slowly.
In Germany, signage is seen outside the European Central Bank Building. (Reuters/Wolfgang Ratte)
ECB cuts the rate as bet on a summer break
The President said on Friday to a separate truth social post, cutting interest rates will allow the US to reduce shorter and long -term interest rates on loans that are “payable.”
Trump wrote, “If the fed is too late, we will reduce the interest rates a lot, long and short, on the loan, which is coming,” Trump wrote. “Biden has mostly gone to the short term. There is no inflation (now), but if it should come back, increase the” rate “at the counter. Very simple !!! He is giving our country a fortune cost. The cost of borrowing must be very low !!!”
The Federal Reserve Chair Jerome Powell Answers to an on-stage discussion at a meeting by The Economic Club of Washington at the Renaissance Hotel in Washington. (Reuters/Amanda Andred-Rods/File Photo)
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According to the CME Fedwatch Tool, there is a possibility of currently cut in the market after the next meeting of the Fed.
Trump recently Powell demanded After reducing interest rates on Wednesday, the ADP reported that private sector companies added only 37,000 jobs in May. The figure was the lowest since March 2023.
Reuters contributed to this report.
