Trump's attacks on the Federal Reserve shake US markets

MADRIDWhile most of the world's stock markets spent Easter Monday with their shutters down, the roar continues in the United States. The Dow Jones, Wall Street's benchmark index, opened the session with its biggest drop since April 8, when Donald Trump announced tariffs on China of up to 104%—although the White House has already warned that he could increase them to 245%—and has already surpassed the slump of April 4. when Trump announced the battery of tariffs around the world.

Specifically, this stock market index registered a 2.5% drop at the close of trading (10 p.m. in Catalonia), and the S&P 500—which represents the country's 500 largest listed companies—has accumulated losses of 2.51%, while the Nasda has fallen by 2.55%. The underlying reason is not only the uncertainty surrounding US policy stemming from the trade war and, consequently, fears of an economic recession, but also Donald Trump's attacks on the Federal Reserve and, specifically, its chairman, Jerome Powell, against the United States. Interest rates. Through his profile on the social network Truth Social, Trump has stated that the trend in energy and food prices eliminates the risk of rising inflation. He therefore criticizes the Federal Reserve's decision not to adjust interest rates for now, unlike other central banks, such as the European one, have done. The more money prices rise, the more the specters of an economic slowdown will grow. "[Jerome] Powell has always been too late, except during election time, when he lowered rates to help Joe Biden get elected," he said last Thursday when the US president. declared war on the Federal Reserve and demanded Powell's dismissal after he was reluctant to touch interest rates

In the eyes of investors, the Federal Reserve is one of the jewels of financial stability in the United States, which is why Trump's frontal attacks against the institution boosted the first quarter results of the year of many companies who are keeping an eye on how the negotiations to stop the tariff chaos are progressing. Beyond the stock markets, gold has once again reached new highs and is now above $3,400, while debt has rebounded to 4.37%.