Trump's Interest Rate Cuts Fizzle as Borrowing Costs Soar

President Donald Trump has been pushing for interest rate cuts to boost the US economy, calling them 'Rocket Fuel' for growth. However, his efforts have not yielded the desired results, and borrowing costs have instead increased.

The Federal Reserve's benchmark rates remain unchanged since the war in Iran began at the end of February, making it more expensive for families to afford mortgages or auto loans. The government is also feeling the squeeze, having spent $827 billion so far this fiscal year to service the national debt, exceeding what has been devoted to national defense.

Recently, Kevin Warsh, the Fed's new chair picked by Trump, said in a press conference that inflation continues to run hot but offered no clear guidance on how to address the issue. As a result, interest rates have risen, with 30-year US Treasury bonds hitting their highest levels in nearly two decades.