Why is Powell in a dilemma? If interest rates are cut too early, inflation may rebound, damaging the credibility of the Federal Reserve If high interest rates are maintained for too long, it may excessively suppress the economy, leading to an increase in unemployment or even recession The principle of policy independence of the Federal Reserve, with Trump pressuring interest rate cuts and accusing the Fed of "harming the economy," any decision made by the Fed could be interpreted as "leaning towards one party