VP JD Vance Challenges Fed’s Powell on Rate Cut Delays Amid Declining Inflation

Vice President JD Vance has publicly questioned Federal Reserve Chair Jerome Powell's reluctance to implement rate cuts despite acknowledging falling inflation. In a post on X, Vance demanded an explanation for why the Fed reduced rates by 50 basis points ahead of a previous election but hesitates now when inflationary pressures have eased.

Powell faces mounting political pressure, including from former President Donald TRUMP and Republican lawmakers, who accuse him of sluggish decision-making. During a House Financial Services Committee hearing, Powell defended the central bank's cautious stance, citing economic uncertainty as justification for maintaining current rates.

The debate over monetary policy comes as cryptocurrency markets remain sensitive to macroeconomic signals. While no specific digital assets were mentioned in Vance's remarks, traders continue monitoring Fed actions for potential impacts on risk appetite across BTC, ETH, and other major tokens.