Elon Musk: 'Stupid' Fed 'must cut' interest rates


New DECLARING Trump supporter Elon Musk is not holding back in his opinion on the US Federal Reserve's decision not to cut interest rates at its July meeting.

In a reply to a post on X about Warren Buffett's Berkshire Hathaway download apple stockMusk opined that the billionaire should “clearly expect a correction of some kind” from the Fed.

Connected: Elon Musk 'concerned' about interest rates, Tesla price cut

“The Fed needs to cut rates,” Musk wrote. “They've been fools not to have done that already.”

This isn't the first time Musk has said what the Fed should do when it comes to raising or lowering rates. In March In 2023, for example, Musk called for the Fed to cut key interest rates by “at least” 50 basis points.

Last week, the Federal Reserve held a policy meeting and decided to keep target interest rates where they were, in a range of 5.25%-5.5%. However, Federal Reserve Chairman Jerome Powell said during that meeting that the possibility of a Fed rate cut in September is not far-fetched.

“The question will be whether the body of data and the evolving outlook on the balance of risks are consistent with rising confidence in inflation and maintaining a solid labor market.” Powell explained. “If that test is met, a cut in our policy rate could be on the table as early as the next meeting in September.”

Connected: Elon Musks weighs in on the Fed's crucial decision to raise interest rates

On Monday, US markets went into a state of turmoil as the Dow, NASDAQ and S&P 500 all fell after a June jobs report on Friday showed a higher-than-expected unemployment rate in the country.

Economists have thought that the Fed could apply an emergency rate cut as early as next week if market volatility continues to avert a nationwide recession.





Source link

Leave a Reply

Your email address will not be published. Required fields are marked *