Viewpoint: The Federal Reserve (FED) will not come to Trump's rescue in a trade war.

Odaily News "Doomsday Doctor" Nouriel Roubini has issued a new warning to Wall Street: traders should reduce their bets on the Federal Reserve increasing interest rate cuts to alleviate the impact of the trade war initiated by President Trump. The famous economist Nouriel Roubini, known as the "Dr. Doom" for accurately predicting the global financial crisis, believes that the United States will avoid recession. After the easing of tariff-related policy disputes, the Federal Reserve (FED) will keep interest rates unchanged for the remainder of the year. "This is certainly a hard confrontation between the Trump bottom and the Powell bottom," Roubini said, "but what I want to say is that the exercise price of the Powell bottom will be lower than that of the Trump bottom, which means Powell will wait for Trump to blink first." The Federal Reserve (FED) Chairman Powell stated last week that the economic impact of the new tariffs could far exceed expectations, and the central bank must ensure this does not trigger a more severe inflation problem. This week, traders digested expectations of the FED cutting interest rates three to five times, each by 25 basis points, and some on Wall Street even believe the central bank may urgently lower rates before the next meeting. (Daily News)