Federal Reserve Chair Jerome Powell has emphasized that the Fed will not intervene to rescue financial markets, according to reports. In recent statements, Powell warned of potential high inflation and slow economic growth, raising concerns about stagflation—a scenario where inflation rises while economic growth stagnates. President Trump has publicly criticized the Fed, accusing Chair Powell of “playing politics” with interest rates. Despite the pressure, Powell remains committed to delivering an accurate economic outlook. These developments come amid ongoing scrutiny of the Fed’s monetary policies and their impact on the U.S. economy.
— new from Barron’s