Should Powell Reduce the Fed Funds Rate?

The Trump Administration has been calling for the lowering of the Fed Funds Rate for several months, putting political pressure on Fed Chair, Jerome Powell.

Though, the last time the Federal Reserve reduced the overnight borrowing rates, mortgage rates actually increased — providing no help to the housing market.

Further, Powell says he is concerned about tariff impacts on inflation. This — along with low unemployment — and inflation in the 2.7-2.9% range, and the stock market being at all time highs, is causing 9 out of the 12 voting members of the FOMC to vote NO to a rate cut and to keep rates steady.

Meanwhile, recent revisions to data from the Bureau of Labor and Statistics are showing that the employment market is much weaker than initially reported.

Should the Fed reduce rates ahead of a cracking employment market? Will it make a big enough difference to save the housing market in the south?

This and MORE in today’s video!