March 19, 2025: Fed Rates Hold, Trump Comments on Fed Decision, More

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Episode Transcript

Speaker 1 (00:02):
News when you wanted with Bloomberg News. Now, I'm Doug Krisner.
We begin with the Fed's decision on interest rates. Today.
Policymakers held the key rate steady as they expect slower
growth and higher inflation. FED Shair J. Powell suggested the
FED saw no need for drastic action in the face
of Donald Trump's trade war and the impact those policies

(00:23):
are having on inflation. Here is J. Powell.

Speaker 2 (00:26):
It can be the case that it's appropriate sometimes to
look through inflation if it's going to go away quickly
without action by us, if it's transitory, and that can
be the case in the case of tariff inflation. I
think that would depend on the tariff inflation moving through
fairly quickly, and would depend critically as well on inflation

(00:48):
expectations being well anchored longer term inflation expectations being.

Speaker 1 (00:52):
That is FED share J. Powell. There By the way,
the FED is forecasting two more rate cuts this year,
and we got reaction to today's FED decison from the
chief economist at KPMG, Diane Swank.

Speaker 3 (01:04):
I don't think there's any chance that they cut in May.
I think that's a very low probability. We do not
have a cut this year until early twenty twenty six
because of the underlying upward pressure on tariff's now much.
We'll find out more information on that on April second,
and then, of course it matters in terms of how
it actually plays out.

Speaker 1 (01:23):
Diane swank There, the chief economist at KPMG now a
short while ago on Truth Social President Trump said the
FED would be met much better off cutting interest rates
as US tariffs begin to ease their way into the economy.
I think the term that he used there was transition.
President Trump is expected to sign an executive order tomorrow

(01:44):
to dismantle the Department of Education. We are told the
order will direct the Secretary of Education to take steps
to close the department and return education authority to the States.
It will also mandate that programs and activities receiving any
remaining Department and funds not be used to advance diversity,
equity and inclusion efforts. We moved to geopolitics next. Today,

(02:07):
President Trump and Ukrainian President Volodimir Zelensky had a call
to discuss the conversation Trump had with Russian President Vladimir Putin. Now.
Zelensky agreed to halt strikes on energy assets as an
initial step to ending the war. President Trump also promised
fresh support for Ukraine, including air defense systems. Here is,

(02:28):
White House Press Secretary Caroline Levit.

Speaker 4 (02:31):
President Trump also discussed Ukraine's electrical supply and nuclear power plants.
He said that the United States could be very helpful
in running those plants with its electricity and utility expertise.
American ownership of those plants would be the best protection
for that infrastructure and support for Ukrainian energy infrastructure.

Speaker 1 (02:49):
White House Press Secretary Caroline Levitt. There now. President Trump
went on to say that peace in Ukraine remains very
much on track and that the phone call with Zelensky
was very good. Soft Bank is acquiring semiconductor designer and
Peer Computing. It's an all cash transaction. It's valued at
six and a half billion dollars now. This acquisition will

(03:09):
add to SoftBank's push into artificial intelligence infrastructure, and it
will give the company access to Ampere's advanced chip design
team and technology. By the way, Ampeer will operate as
a wholly owned subsidiary of soft Bank. Oil executives meant
today with President Trump to discuss speeding up permitting and
ensuring project approvals will have lasting durability. This meeting focused

(03:34):
on shaping Trump's energy dominance agenda. Here is US Interior
Secretary Doug Bergham speaking to reporters alongside US Secretary of
Energy Chris Wright.

Speaker 5 (03:44):
One of the things that this injury industry has faced
is the onslaught of regulation that was really had one
goal in mind to try to drive their business out
of business. And story after story, the Chris and I
hear of people were the permitting prices takes longer than
the actual build process on critical infrastructure in our country,

(04:06):
and this is unacceptable.

Speaker 1 (04:07):
That was US Interior Secretary Doug Burgham. Now, concern about
falling crude prices was not discussed during today's meeting, and
that is news when you want it with Bloomberg News.
Now I'm Doug prisoner, and this is Bloomberg