Fed Chairman Powell will speak: What will he say about Trump and interest rates?

Amid calls for resignation from Trump and many Republicans, the cost of restoring Fed buildings, and pressures for further interest rate cuts, Fed Chairman Jerome Powell will deliver a speech today.

It is not expected that Powell, who will speak at the conference titled Capital Framework for Big Banks in Washington, will directly target Trump. The Fed chairman may provide some hints regarding interest rate cuts at least for the month of September.

Bessent: The Fed should be questioned as an institution

Powell, who has managed to ignore the resignation calls from Republicans, including Trump, until today, was mentioned by Treasury Secretary Scott Bessent in a program he attended yesterday, stating, "Fed members have not been able to escape their limited mindsets." Bessent also expressed, "The success of the Fed should be questioned based on what it has done and not done so far. The Fed, as an institution, should also be questioned."

BofA does not expect a discount for 2025

The markets agree that there will be no interest rate cut from the Fed meeting on July 30, but hopes for September are high... Nevertheless, the US giant bank Bank of America stated in a report published yesterday that it does not expect an interest rate cut for 2025.

This last speech by Powell before the FOMC meeting on July 29-30 could provide clues for all these claims and expectations.

Published: July 22, 2025 14:25Last Updated: July 22, 2025 14:32