William Pulte, the director of the Federal Housing Finance Agency, has made a controversial statement urging Federal Reserve Chair Jerome Powell to either lower interest rates or resign from his position, reports suggest.
Mr. Pulte, in a public post, argued forcefully that with inflation under control, largely thanks to President Trump’s policies, it is paramount for Chair Powell to reduce interest rates promptly. If not, according to Pulte, Powell should step down, according to reliable sources.
Pulte’s remarks echo sentiments shared by the President himself, who has been advocating for a reduction in rates for some time. Pulte went on to state that the beneficiaries of such a move would be Fannie Mae and Freddie Mac, enabling them to extend their assistance to a larger segment of the American populace.
This development follows earlier reports that Pulte expressed similar views weeks ago. He insisted then, as he does now, that there is no valid reason to maintain the current interest rates, arguing that the housing market would be in a more favorable position were Chair Powell to heed this advice.
However, despite these calls, the Federal Reserve has not announced any rate cuts during President Trump’s second term. The significance of this should not be overlooked as it raises important questions about the future of monetary policy and its impact on the housing market and the wider economy.