Federal Reserve Wednesday puzzle; Curb inflation or save Trump's economy before the election? The Federal Reserve's decision regarding interest rates is announced in a situation where the American economy is facing inflationary pressures, increased financing costs and volatility in the financial market. Donald Trump wants to lower interest rates, but continued inflation may force the central bank to maintain a tight monetary policy; A topic that became more politically important on the eve of the mid-term elections in the USA. The increase in the price of Brent oil to the range of $117, together with the growth in Treasury bond yields and the drop in stock indices, increased concerns about energy costs, financing and the prospects of the American economy. The continuation of regional tensions and the possibility of renewed attacks against Iran could also change inflationary expectations and investors' calculations by increasing the risk of energy supply disruptions. In this situation, the decision of the Federal Bank is not limited only to the interest rate; Moreover, the tone of the central bank governor's statements about inflation and the future direction of monetary policy is also important. If the energy pressures continue, Trump may face a more difficult economic and electoral challenge, as the cost of living rises and interest rate cuts become more limited. Read the full text at the link below:

Federal Reserve Wednesday puzzle; Curb inflation or save Trump's economy before the election? The Federal Reserve's decision regarding interest rates is announced in a situation where the American economy is facing inflationary pressures, increased financing costs and volatility in the financial market. Donald Trump wants to lower interest rates, but continued inflation may force the central bank to maintain a tight monetary policy; A topic that became more politically important on the eve of the mid-term elections in the USA. The increase in the price of Brent oil to the range of $117, together with the growth in Treasury bond yields and the drop in stock indices, increased concerns about energy costs, financing and the prospects of the American economy. The continuation of regional tensions and the possibility of renewed attacks against Iran could also change inflationary expectations and investors' calculations by increasing the risk of energy supply disruptions. In this situation, the decision of the Federal Bank is not limited only to the interest rate; Moreover, the tone of the central bank governor's statements about inflation and the future direction of monetary policy is also important. If the energy pressures continue, Trump may face a more difficult economic and electoral challenge, as the cost of living rises and interest rate cuts become more limited. Read the full text at the link below: