US News
LAST UPDATE: August 2, 2025
Fed Starts Talks on a Relaxed Version of Basel III Endgame
The Federal Reserve has begun informal talks on easing proposed Basel III capital requirement increases—likely lowering the planned 9% rise for big U.S. banks, targeting a final rule by Q1 2026. (ブルームバーグ法律ニュース)
Insight
Regulators may reassess tightening bank capital amid financial-market volatility and macro uncertainty, favoring a more flexible transition to new global banking standards.
Fed’s Hammack Says Job Market Healthy Despite Disappointing Data
Cleveland Fed President Beth Hammack acknowledged weak July jobs statistics but insisted the labor market remains “balanced and healthy,” supporting the Fed’s decision to hold rates while monitoring inflation and employment trends. (Bloomberg.com, mitrade.com)
Insight
The view reinforces a cautious Fed stance: rate cuts remain possible but will depend on sustained labor market softness, with inflation risk still central to policy deliberations.
Trump Urges Fed Board to ‘Assume Control’ If Rates Not Cut
President Trump called on the Federal Reserve board to override Chair Jerome Powell if he refuses to cut interest rates, criticizing Powell as “a stubborn MORON” and urging aggressive action amid soft job data and tariff pressures. (Bloomberg via Reuters)
Insight
Trump’s direct attack on Fed independence signals escalating executive pressure for monetary easing, raising concerns about central bank credibility and politicization of policy decisions.
Dissenting Fed officials Bowman, Waller link votes to job market concerns
Governors Michelle Bowman and Christopher Waller dissented on the Fed decision to hold rates, arguing July’s weak job gains (only 73,000 payrolls) warranted a cut, saying tariff-driven inflation is temporary and the labor market is deteriorating. (Reuters)
Insight
Their rare joint dissent reflects internal pressure for rate cuts and highlights growing divergence within the Fed on inflation risks versus labor softness.
Trump Orders Firing of BLS Chief Over Jobs Numbers
Trump reportedly ordered the firing of the Bureau of Labor Statistics director in response to data revisions that lowered the July jobs total. He blamed the flawed numbers for political messaging setbacks.
Insight
The incident raises alarms about political interference in official data reporting, undermining institutional trust and independence of statistical agencies.
US labour market suffered sharp slowdown over past three months
Between May and July, U.S. employers added only 106,000 jobs, sharply down from 380,000 in the previous quarter, with July contributing just 73,000. Revisions cut prior months’ growth by 258,000 jobs.
Insight
The data intensifies pressure on the Fed to pivot as economic momentum slows; Trump’s tariff policy may be contributing to labor market fragility.
U.S. Consumer Sentiment Improves Slightly
Consumer sentiment edged up in July, signaling mild optimism among households, although concerns remain about labor market instability and inflation’s persistence.
Insight
While sentiment gains suggest resilience, lingering anxiety about jobs and prices could curb spending momentum.
Climate Skeptics Are Tapped by Trump Administration to Justify Regulatory Rollback
The administration has appointed climate-skeptic scientists and advisers to support legal frameworks rolling back environmental regulations, emphasizing economic over climate policy.
Insight
This ideological shift signals a broader push to prioritize deregulation irrespective of scientific consensus, drawing criticism from environmental groups.
