Marriner S. Eccles Federal Reserve building in Washington, Washington, USA, Thursday, September 12, 2024.
Stefani Reynolds Bloomberg Getty images
An independent central bank is seen by the majority (including this newsletter) as the basis of functional economy. Officials manage the economy, calibrating the interest rate on which bank loans and mortgage loans are based.
Corporations and consumers, in general, like low interest rates, because the cost of loans is cheaper. The first one is encouraged to expand and invest, which in turn tends to increase income and expenses between the latter. But such behavior can overheat the economy, causing prices to rise.
Repeated calls of US President Donald Trump to the chairman of the Federal Reserve Jerome Powell to lower interest rates can make companies and people happy – at the expense of allowing inflationary madness. Impact on the Trump tariffs, which are import taxes, and thus fundamentally an increase in prices, and inflation can get two shots in the shoulder.
That is why central bankers operate independently of the government. The administration, which aims to satisfy the population, may reduce the rates despite high inflation, which leads to further economic difficulties.
It is aid markets in the USA, and Europe was on a holiday break on Good Friday, when Trump commented.
What you need to know today
Trump calls Powell again to lower the rates
US President Donald Trump said on Friday that “if we had the chairman of the FED, who understood what he was doing, Interest rates would fallToo. “The White House said on Friday that officials assess whether they can Remove the Fed chair. This is Not the first time Trump criticized Powell's approach to American monetary policy.
Growing disapproval for Trump's economy
According to the CNBC survey among 1000 Americans, 55% of respondents rejected From the service of the economy by Trump, for the first time in every CNBC survey, which was negative about the economy during the president. According to the results of the survey, more Americans now believe that the economy will be worse than at any time from 2023 and are more pessimistic in terms of stock exchange.
Economic activity can “fall” in the summer
The US economy can experience Increased level of activity now When buyers and companies buy the goods before the start of the tariffs, Chicago President Fed Austan Goolsbee said on Sunday. “Activity may look artificial high in the initial place, and then in the summer it can fall – because people bought everything.” Goolsbee said that the sectors of the automotive industry and electric components are most affected.
Executive prohibition to review the State Department
The Trump administration may soon move in Huge changes in the US Department of StatePursuant to the 16-page draft executive ordinance obtained by CNBC. If it is adopted, the Order would illuminate the American embassies in South Africa, eliminated offices that act on such issues as democracy and human rights, as well as international organizations such as the UN.
We impose a fee to ships built by Chinese
Trump administration on Thursday Announced fees for Chinese ships After the investigation carried out by the Biden-Trump administration, it showed that Chinese acts, policies and practices were unjustified and burdened or limited US trade. The new fees are based on the ship's net tonnage. The fees will be charged once for the journey, not for the port, as originally proposed.
The signs of Ukraine will immediately have a mineral agreement with us
Yulia Svyrydenko, the Minister of Economic Development and Trade of Ukraine, said on Thursday the country and the US signed the “Memorandum of Intension”, which was the basis of the agreement for the agreement for the agreement Both nations develop natural resources of Ukraine together. However, on Friday, US Secretary of State Marco Rubio said that America would be Move away from the attempt to intermediac to Russia-Room Within a few days, unless there are clear signs that a contract can be concluded.
(Pro) earnings can displace tariffs as a focus
According to strategists, market sites due to Trump tariffs can be subdued – but not quite inferior -. Investors' attention will pay off Earning reports in the first quarterWhen Tesla and Alphabet announce their results on Tuesday and Thursday, respectively.
And finally …
Intelligent robots work on the production line during the Changqing Auto Parts Co., Ltd., Ltd., located in Anqing Economic Development Zone, Anhui province, China, March 13, 2025 (photo Costfoto/Nurphoto via Getty Images)
Nurphoto | Nurphoto | Getty images
Where “made in China 2025” missed the sign
When Beijing issued his “Made in China 2025“The plan in 2015 met with significant International criticism in order to promote Chinese business at the expense of their foreign counterparts. The country then disregarded this initiative, but it doubled in the development of national technology, taking into account the restrictions Over the past few years.
Since the plan is released, China has crossed their goals in achieving national domination in Autos, but this country has not yet achieved its goals in the airport, high -class robots and the rate of increase in production value, added the European Chamber of Commerce in China In the report last weekciting research and discussions with members.
Of the ten strategic sectors identified in the report, China only achieved technological dominance in shipbuilding, fast and electric cars.