TRUMP WANTS 1% MONEY FOR THE “BEST CREDIT IN THE WORLD” — THE FED VOTED 12 TO 0 THE OTHER WAY — HE BLAMED EVERYONE IN THE ROOM BUT HIS OWN CHAIRMAN

The President asked for a cut. On September 16 the Fed raised a quarter point instead, to 3.75 to 4 percent, and the vote was 12 to 0. Not one hand went his way, and one belonged to Kevin Warsh, the man he put in the chair. First principles: a central bank is a promise that money will not be printed to suit the White House, and a promise only counts when keeping it costs something. At 4:38 pm Eastern he posted on Truth Social that rates “should be 1%, or less, because we are the Best Credit in the World — BY FAR.” He added that “Deficit” is “nothing more than a fancy word for LOSS.” The Fed’s own forecast puts inflation at 3.7 percent for 2026. One percent money against 3.7 percent inflation pays the lender minus 2.7 percent a year. That is the borrower naming his own rate and asking to be paid to take it. The post never says Warsh. To reporters on the evening of September 16 he said he told “Kevin” to “vote with the board because it’s not going to matter” and called the board “very hostile.” So the chair is a friend who got outvoted; the other eleven are the problem. That is not independence defended. It is independence haggled over in public, one governor at a time. And 16 of 18 Fed officials pencil in a higher rate by the end of 2026, so the haggling is not over. At the time of this writing, bitcoin was $76,540.