President Trump called out the Federal Reserve this morning, touting falling inflation and oil prices. The obvious signal he’s sending – don’t raise rates anymore, start lowering them.
“So great that oil prices are falling (thank you President T). Add that, which is like a big Tax Cut, to our other good Economic news. Inflation down (are you listening Fed)!”
So great that oil prices are falling (thank you President T). Add that, which is like a big Tax Cut, to our other good Economic news. Inflation down (are you listening Fed)!
— Donald J. Trump (@realDonaldTrump) November 25, 2018
Last Tuesday MarketWatch reported:
“President Donald Trump on Tuesday said he’d like to see lower interest rates from the Federal Reserve, in his latest criticism of the central bank’s gradual tightening of monetary policy. Speaking to reporters as he left the White House for Florida, Trump said he saw more of a “Fed problem” than anything else on a day the Dow Jones Industrial Average DJIA, -0.73% and other stock indices dropped precipitously. The Fed is expected to hike interest rates next month and in 2019.”
CNBC went more in-depth:
“President Donald Trump once again took a shot at the Federal Reserve on Tuesday, saying he would like to see lower rates from the U.S. central bank in answering a question on the state of the economy and financial markets.
“I’d like to see the Fed with a lower interest rate. I think the rate’s too high. I think we have much more of a Fed problem than we have a problem with anyone else,” Trump said to reporters outside the White House. “I think your tech stocks have some problems.”
The Fed has raised rates three times this year and is expected to hike once more before year-end. The central bank also expects to boost rates three times in 2019. Some investors blame the Fed’s rate increases for the market turmoil that has caused the Dow Jones Industrial Average to erase its gain for the year on Tuesday.
Trump has repeatedly gone after the Fed for tightening monetary policy in the U.S. On Oct. 10, he said the Fed had “gone crazy ” by continuing to raise rates. The next day, Trump said the Fed caused a correction in the stock market. Finally, Trump called the Fed his “biggest threat” because they were “raising rates too fast. ”
A sitting president criticizing the Fed is rare. Trump’s predecessors have largely refrained from commenting on the direction of monetary policy.”
Share this if you want the Fed to lower rates!