President Donald Trump is badgering the Federal Reserve to cut interest rates, but even if the Fed gave in to the pressure, it wouldn’t necessarily lead to lower borrowing costs for consumers.

Now, the markets are anticipating that President Trump is putting pressure on Chairman Powell to cut interest rates, even if the Fed doesn’t think it’s the right time to do so. But why is that the case and can he pressure the Fed Chair to take action?

President Trump now says he has “no intention” of of firing Federal Reserve Chair Jerome Powell. The markets are just fine with that.