Valuetainment


“Trump Has Met His Match” – Trump DEMANDS Powell Cut Rates As Fed Face-Off Turns UGLY!


Episode Stats



Summary

Summaries generated with gmurro/bart-large-finetuned-filtered-spotify-podcast-summ .

Trump wants the Fed to cut interest rates and stop playing politics. Fed Chairman Jerome Powell says it's too early to determine if these economic forces have any impact on monetary policy, but Trump wants to know if rates should be cut.

Transcript

Transcript generated with Whisper (turbo).
00:00:00.000 Powell predicts when Americans will feel ripple effects from Trump's global tariffs.
00:00:04.980 Rob, if you got this clip, I think you got a clip on this, if you can play,
00:00:08.560 because Trump calls for federal, feds Powell to cut interest rates and stop playing politics.
00:00:14.400 That's what Trump said, okay?
00:00:16.060 On the same exact day when Trump says this, okay,
00:00:20.300 President Trump urged Federal General Powell to cut the rates on Friday on Truth Social.
00:00:24.400 This would be perfect time for Federal Jerome Powell to cut interest rates.
00:00:28.240 Energy prices are down, interest rates are down, inflation is down, even egg is down 69%,
00:00:34.320 and jobs are up, urging, cut interest rates, Jerome, and stop playing politics.
00:00:38.980 That's Trump, and this is what Jerome Powell said.
00:00:41.080 Go ahead and play that clip, Rob.
00:00:43.080 We have stressed that it will be very difficult to assess the likely economic effects of higher tariffs
00:00:48.520 until there is greater certainty about the details, such as what will be tariffed,
00:00:53.080 at what level and for what duration, and the extent of any retaliation from our trading partners.
00:00:59.160 While uncertainty remains elevated, it is now becoming clear that tariff increases will be significantly larger than expected.
00:01:06.220 And the same is likely to be true of the economic effects, which will include higher inflation and slower growth.
00:01:11.740 The size and duration of these effects remains uncertain.
00:01:17.040 While tariffs are highly likely to generate at least a temporary rise in inflation,
00:01:21.520 it's also possible that the effects could be more persistent.
00:01:25.680 Avoiding that outcome would depend on keeping longer-term inflation expectations well anchored,
00:01:30.160 on the size of the effects, and on how long it takes for them to pass through fully to prices.
00:01:34.560 Our obligation is to keep longer-term inflation expectations well anchored
00:01:40.360 and to make certain that a one-time increase in the price level does not become an ongoing inflation problem.
00:01:47.860 We'll continue to carefully monitor the incoming data, the evolving outlook, and the balance of risks.
00:01:53.200 We're well positioned to wait for greater clarity before considering any adjustments to our policy stance.
00:01:58.800 It is too soon to say what will be the appropriate path for monetary policy.
00:02:04.560 Tom.
00:02:08.340 Excuse me.
00:02:09.780 Tom, I just said your name.
00:02:12.240 Brandon, go ahead.
00:02:12.940 Tom's getting very emotional over Jerome Powell.
00:02:15.120 Give me one second.
00:02:16.300 Yeah, yeah, so I got you.
00:02:17.620 So with this, I think that we don't need to cut rates right now because I think we're going to take care of the inflation just fine
00:02:24.120 with what's going to happen with the market.
00:02:25.460 So I think just as a result of the market going down, like oil's already below $60 a barrel,
00:02:29.440 so inflation's going to go down.
00:02:30.600 One, I don't understand how people are trying to make the argument that tariffs are both going to make the stock market go down
00:02:35.060 and cause inflation.
00:02:36.180 Like, no, we're not going to have inflation if the stock market's going down.
00:02:38.360 That's one thing.
00:02:39.300 Two, I don't like Trump telling the Fed what to do with the rates,
00:02:42.440 and I absolutely despise the fact that the Fed controls the rates.
00:02:45.400 I think that's the most communist thing ever, that we have this weird, like, company,
00:02:49.620 this weird private company controlling the price of money for our entire country.
00:02:52.980 I think that the 10-year Treasury should be what we base things off of in terms of interest rates
00:02:56.820 because I think that's the market telling you what the rate is rather than some weird governing body
00:03:00.980 telling you what the price of money should be.
00:03:03.540 So you don't like the fact that Trump's telling Fed, but you also don't like the fact that they dictate it.
00:03:09.100 Yeah.
00:03:09.220 So what would you like ideally to happen?
00:03:10.920 So as I just said, 10-year Treasury should basically act as the Fed's federal funds rate
00:03:15.700 because that's the market telling you that, you know, the market buys and sells.
00:03:18.520 The Treasury market's probably the smartest group of money in the world.
00:03:20.660 So I think that's, like, a better market-based way of saying what the price of money should be
00:03:24.160 instead of Powell just going in and giving his opinion.
00:03:26.620 Tom?
00:03:27.440 Well, what was interesting was the last thing he said,
00:03:29.940 it's too early to determine if these economic forces have impacted monetary policy.
00:03:36.400 He's talking back to the president.
00:03:38.120 The president's saying, you've got to do this.
00:03:39.320 You've got to do this.
00:03:39.960 He said, it's too early to do it.
00:03:41.940 Well, May 6th and 7th is what they're all aiming at.
00:03:44.680 Write those down.
00:03:45.520 May 6th and 7th, June 17th, 18th.
00:03:47.580 Those are the next two meetings of the Fed.
00:03:49.780 May 6th and 7th is coming up.
00:03:51.000 We're less than a month away now.
00:03:52.100 We're just under a month away.
00:03:53.800 And what Trump wants is, hey, look at all this mayhem.
00:03:59.240 Give me a quarter point.
00:04:01.080 Better yet, give me a half point.
00:04:02.240 That won't happen.
00:04:03.200 But give me a quarter point.
00:04:04.480 And the Fed Board of Governors, it ticked up yesterday where it suddenly was over 25% chance.
00:04:10.640 Like they were all in sub voting.
00:04:12.600 You know, the dot chart.
00:04:14.140 All of a sudden it was like a little bit high.
00:04:17.080 And so maybe there's a 30% chance in May.
00:04:19.600 So what Trump is trying to do is put political pressure on the Fed to look at all of these other statistics and say, yep, let's give a quarter point.
00:04:31.640 Because what does that do?
00:04:32.960 That lets businesses borrow at a lower rate.
00:04:36.240 That lets them borrow money more.
00:04:37.800 And maybe that puts a little more pressure, deeper grok here, on the 10-year or the 30-year in the bond market, which will help mortgages go down.
00:04:46.660 Because right now mortgages have got one of the highest spreads they've had in a while.
00:04:50.780 In other words, the bank on the 30-year fixed, I think right now, is 6.5, depending on what bank you look at, right around.
00:04:57.080 And Trump wants to see 5.875.
00:05:01.460 He wants to see a 5.
00:05:02.900 Because people say 5.875 is the mental barrier that I'm getting a 5 rate.
00:05:12.160 And so take that and do it with what you will.
00:05:15.480 But Trump wants to get a cut on May 6th and 7th, definitely on June 17th, 18th.
00:05:21.620 Adam.
00:05:21.880 Well, you know, there's a song that goes, you can't always get what you want.
00:05:27.080 But if you try some time, you get what you need.
00:05:30.300 With Jerome Powell, Trump has met his match.
00:05:34.320 Who appointed Jerome Powell the chairman of the Fed?
00:05:37.160 Well, in 2018, Trump did.
00:05:39.820 And for seven years now, Trump's been trying to dictate, mandate, criticize, condemn Powell.
00:05:48.400 And Powell's just been like, nah, I'm good, bro.
00:05:53.060 And just does what he wants.
00:05:56.240 Now, you can criticize Powell.
00:05:58.020 You could say he's doing a good job, he's doing a bad job.
00:05:59.860 In my opinion, he's doing a very steady, eddy job.
00:06:03.480 So I love the fact that the president can't just control the chairman of the Fed.
00:06:09.240 So it's called polarity.
00:06:11.500 You know, Trump is all gas.
00:06:12.960 Jerome Powell might be the brakes.
00:06:14.760 Right?
00:06:15.120 Thunder and lightning, logic and emotion, order and chaos.
00:06:18.240 Trump wants to go, go, go, go, go.
00:06:19.900 At some point, someone needs to be like, relax.
00:06:22.800 I got this thing over here.
00:06:24.140 We don't want Trump just dictating everything that's going on in this country.
00:06:28.640 We want someone saying, well, look, have you thought about this?
00:06:31.460 I don't know about that.
00:06:32.460 So I'm totally in favor of Jerome Powell doing what's best for America.
00:06:37.860 And Trump will also think do what's best for America.
00:06:41.680 And hopefully the two meet in the middle.
00:06:43.280 But until then, I'm cool with Jerome Powell holding the line.
00:06:47.040 Is the Fed, so they don't, who do they answer to?
00:06:49.520 Because isn't it an unelected body?
00:06:52.140 It's the bank.
00:06:52.740 Like Citibank, JPMorgan Chase.
00:06:54.860 They're not elected.
00:06:56.800 They're chosen, but they answer to themselves.
00:06:58.740 They're nominated and then elected, and then Jerome Powell has his own term.
00:07:03.020 And the president cannot fire him the same way he can fire all of the cabinet members.
00:07:08.040 He's saying, because most every cabinet member resigns before they're fired when you change presidents.
00:07:13.240 Jerome Powell, he's not that way.
00:07:16.000 He has a term that he serves out.
00:07:18.280 Got you.
00:07:18.900 It's a 10-year term, right?
00:07:20.080 I'm just curious, because Brandon makes a good point.
00:07:22.880 It's like, who are they answering to?
00:07:26.440 How do they have that much control?
00:07:28.480 And I'm not saying, I wish Trump could fire anybody or whatever, but if you're just on.
00:07:32.000 Well, this goes all the way back to, you've got to read Jekyll Island.
00:07:35.680 The least at Jekyll Island.
00:07:36.780 We hosted an event at Jekyll Island in the room where the Federal Reserve got started.
00:07:41.340 It's a compound.
00:07:42.380 It's a very interesting, very weird place filled with trillions of mosquitoes.
00:07:46.980 If you go to that restaurant right by the water, you're going to be bit from head to toe if you're at this property.
00:07:53.340 But there's a lot of history to this place.
00:07:54.780 Anyways, we're at the end of it, guys.
00:07:56.560 A couple things.
00:07:57.320 This cigar lounge thing, this weekend, last weekend, prior weekend, it's been very, very busy.
00:08:03.460 Very interesting.
00:08:04.360 A lot of fun.
00:08:05.340 This last Friday night, this place had a lot of interesting guests that have been showing up a lot.
00:08:10.840 Rob, if you can pull up this clip here with what this, this is a highlight from the last couple weeks.
00:08:15.060 Go for it, Rob.
00:08:17.560 Do we have audio?
00:08:19.640 Right there.
00:08:20.140 The audio is paused, Rob.
00:08:21.160 Can you go back?
00:08:22.740 Rob, can you go back?
00:08:23.660 Go for it.
00:08:24.100 Good looking, people.
00:08:41.440 Good conversation.
00:08:42.580 Sports.
00:08:44.000 Football players.
00:08:45.220 NBA players.
00:08:46.200 Producers.
00:08:46.800 People showing up business people all over the place.
00:08:53.240 Wow.
00:08:53.960 Members only, guys.
00:08:55.140 It's a very, very exciting.
00:08:57.700 Three tiers of membership.
00:08:58.700 Silver, gold, and platinum.
00:09:00.220 Rob, what is the website you go to to apply?
00:09:04.020 Do you have the website to the boardroom?
00:09:05.540 BoardroomCigarLounge.com.
00:09:06.180 Is that the QR code right there?
00:09:07.440 Yes, that's the QR code.
00:09:08.580 Can you check to see what the website is so I can say to the Spotify audience?
00:09:11.020 Yep, it's BoardroomCigarLounge.com.
00:09:15.660 BoardroomCigarLounge.com.
00:09:17.540 BoardroomCigarLounge.com.
00:09:18.880 We had a person become a member the other day that's not even from the States, from Brazil.
00:09:22.020 We have people internationally becoming members of this place.
00:09:24.900 And to come and visit, there's benefits to platinum.
00:09:27.280 We have an announcement to be made here soon for a live event there.
00:09:30.800 But anyways, if you do want to be a member, everybody, there's no phones allowed in this
00:09:35.160 place when you get in.
00:09:36.080 Nobody can have a phone.
00:09:37.600 No one's taking pictures.
00:09:39.680 Everyone's asking and saying, hey, I want to exchange numbers with this person.
00:09:42.200 What do I do?
00:09:43.140 Back in the 80s, you would write it down.
00:09:45.480 So grab a paper and pen.
00:09:46.380 It's really cool.
00:09:47.420 And there's a lot of new surprises.
00:09:49.100 Members know about this.
00:09:50.060 If you want to find out more, apply.
00:09:52.220 Everybody goes through a background check.
00:09:53.740 And then some of you guys will get a chance to be there.
00:09:56.080 And I'm there quite often.
00:09:57.720 And we'll get a chance to have a conversation as well.
00:09:59.520 If you enjoyed this video, you want to watch more videos like this, click here.
00:10:02.460 And if you want to watch the entire podcast, click here.