TRUMP PICKED A FED CHAIR TO CUT RATES AND GOT A HIKE

The Fed raised its benchmark rate a quarter point to a range of 3.75% to 4%, its first hike since 2023, pinning it on inflation that keeps climbing while the war with Iran pushes energy prices up. The vote was 12-0. Chair Kevin Warsh, handpicked by Trump with the aim of lowering rates, told the room that inflation is too high and has been for too long. Hell of a way to tell your boss no on live television. Trump posted on Truth Social that rates should be 1% "or less," because America is the "Best Credit in the World." That is roughly three points of cuts, the kind the Fed does when something is actively on fire. It is also not true, since S&P rates Canada, Australia and Germany above us. The White House called the hike unfortunate and short on economic justification. The Democrats have made their position clear with Brendan Boyle saiying it proves Trump has failed on the economy. Markets voted too. The Dow closed down about 630 points, or 1.2%, its worst day in nearly a month, the S&P fell 0.4%, and the 10-year Treasury yield hit its highest level since 2007. The Fed penciled in one more hike this year. When asked how the president was taking it, Warsh said, "I don't have anything for you on discussions with the president, and I am not a Wall Street newsletter."

Why you should give a shit: A Trump appointee just raised your credit card APR to Trump's face, which is the loudest possible signal that cheap money is not coming back no matter how many all-caps posts demand it.