Evercore ISI analysts believe the Fed will respond more slowly than markets to a new outlook should Trump win. Asked how Trump's policy agenda would buck economists' expectations for higher inflation, Trump campaign National Press Secretary Karoline Leavitt said: "The American people don't need economists to tell them which president put more money in their pockets." "When President Trump is back in the White House, he will reimplement his pro-growth, pro-energy, pro-jobs agenda to bring down the cost of living and uplift all Americans." “That is not politics, it is reacting to a changed forecast.”But Richmond Fed President Thomas Barkin cautioned against that. “Come May 2026 President Trump would have a more straightforward option of nominating a more compliant Fed chair” who would not act to offset rising inflation pressures, in turn worsening them, Eichengreen said.
