Grant Cardone Says Jerome Powell Has Done 'More Damage' To American Middle Class Than 'Any Other Single Fed,' Blames Fed For 'Housing Crisis'

Grant Cardone, the CEO of Cardone Capital, accused Federal Reserve Chairman Jerome Powell of causing the country’s “housing crisis.” Cardone argued that Powell’s policies have significantly impacted the housing market.

What Happened: Cardone, in an interview during “Mornings with Maria” with Fox Business on Monday, stated that Powell’s decisions have had a detrimental effect on the middle class and the housing market. He specifically pointed to the high interest rates, which he believes are preventing people from purchasing homes.

Cardone also criticized Powell for maintaining high interest rates despite a drop in inflation. He suggested that lower rates could stimulate market activity and subsequently lower home prices due to increased supply.

“He [Jerome Powell] has done more damage to the middle class and to housing in this country than any other single Fed or any decision that has ever been made out of Washington, D.C.,” Cardone stated. 

He also credited the decline in inflation to President Donald Trump's "enthusiasm, optimism, and speculation of opening up the marketplace."

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Why It Matters: The real estate tycoon’s comments come in the wake of the Federal Open Market Committee’s decision to maintain the benchmark interest rates at 4.25% to 4.5% following its May meeting.

Cardone’s criticism of Powell’s policies echoes sentiments expressed by other industry leaders. Earlier in May, Federal Housing Finance Agency (FHFA) Director William Pulte urged Powell to lower interest rates, stating that it would significantly improve the housing market.

However, economists are divided on the issue. Following a strong May jobs report, some believe that the Federal Reserve should maintain its current stance, while others argue that the central bank should start cutting interest rates.

Meanwhile, President Trump, who has been a vocal advocate for interest rate reductions, renewed his attack on Powell after the release of the strong May employment report, asserting that rates “should be much lower.”

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.