U.S. Commerce Secretary Criticizes Federal Reserve Chair's Stance on Tariffs and Inflation

According to Odaily, U.S. Commerce Secretary Lutnick expressed criticism on the X platform regarding Federal Reserve Chair Jerome Powell's recent testimony. Lutnick highlighted that Powell emphasized the potential for increased tariffs to exacerbate inflation, suggesting that Powell spoke as if he had witnessed inflation firsthand. However, Powell testified that over the past two and a half months, there has been no inflationary price increase, with the inflation rate at zero. This, Lutnick noted, is why U.S. President Donald Trump labeled Powell a failure, as Powell prefers to overlook tariff revenues and maintain the highest interest rates globally for a leading nation, fearing decisive action. Lutnick argued that a 1% interest rate cut could save the U.S. hundreds of billions in interest expenses. He urged Powell to focus on fostering economic growth while reducing the deficit, asserting that inflation is nonexistent and Powell's testimony confirmed this.