Vance Slams Fed After Inflation Report

Vice President JD Vance harshly criticized the Federal Reserve on Wednesday after inflation increased at a slower pace than expected, accusing Chair Jerome Powell of mismanaging his job to balance price growth and unemployment through interest rates, The Hill reported.

"The president has been saying this for a while, but it's even more clear: the refusal by the Fed to cut rates is monetary malpractice," Vance wrote on X.

The May consumer price index report, which was released on Wednesday by the Labor Department, showed prices rising 0.1% last month, slightly lower than Wall Street's anticipated 0.2% increase.

President Donald Trump has said for months that the Fed should cut interest rates and add more fuel to the American economy, with inflation down significantly from its peak during the Biden administration, according to The Hill.

Trump insists that the Fed should match rate cuts from other central banks, even though those nations have much weaker economies than the United States does.

Trump's anger with the Fed was boosted this year when officials there indicated that they would most probably keep rates steady due to the uncertainty surrounding Trump's tariffs and the relative strength of the American economy.

According to the bank's most recent projections from March, the Fed is still expected to cut interest rates at least twice this year, but even the slower-than-expected May inflation report may not be enough to accelerate those moves.

Brian Freeman ✉

Brian Freeman, a Newsmax writer based in Israel, has more than three decades writing and editing about culture and politics for newspapers, online and television.