UBS On-Air: Market Moves
UBS On-Air: Paul Donovan Daily Audio 'Perceptions of political puppeteering'
30 Jul 2025
The Federal Reserve meets to decide interest rates—over a hundred economists expect no change. The question is whether one can credibly disagree, without appearing as a political puppet. A case can be made for rate cuts (if one views US President Trump’s trade taxes as a heavier burden on US consumers). However, even if a Fed member sincerely believes that scenario, their dissent would almost inevitably be viewed as Trump twitching the political puppet strings in the background.
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