USA – Donald Trump “Not Excited” by the Rate Hike Followed by the Fed

Trump NextColumn

US President Donald Trump said Monday, he disagreed with the decision of Federal Reserve Chairman, Jerome Powell about the raise of interest rates.

Donald Trump said Monday he was not “excited” by the interest rate hike policy followed by Federal Reserve Chairman, Jerome Powell while accusing China and Europe of manipulating their respective currencies.

The US president, who had already taken investors by surprise in a similar criticism of the rate hike cycle that began since the end of 2015 by the Fed, in an interview with Reuters that the Fed should be more accommodating.

I’m not excited about raising interest rates, no, I’m not excited,” he said, referring to Jerome Powell, named last year by Donald Trump as head of the Fed replacing Janet Yellen.

“I should be supported by the Fed”
The US president have scarcely risked criticizing the Federal Reserve in recent decades as the independence of the issuing institution is considered a pillar of the economic stability of the United States. And Trump’s remarks erased some of Wall Street’s gains at the end of the session and slightly accentuated the dollar’s decline against a basket of international currencies.

The US president, who had already attacked the Fed during the 2016 presidential campaign, felt that, unlike the United States, some countries benefited from the support of their central bank in difficult times.

We are negotiating strongly and forcefully with other nations. We will come out victorious. But during this period I should be supported by the Fed. The other countries have an accommodating monetary policy, ” he said.

Europe and China would manipulate their currencies
The Fed has gradually raised its rates since the end of 2015 and Jerome Powell, in office since February, has maintained this policy of gradual rate increases. They have already been increased twice this year and should be increased at least once by the end of December.

“I think China manipulates its motto, absolutely. And I think the euro is also manipulated, ” said Trump. The Republican president has made the reduction of the US trade deficit a priority but his will is complicated by interest rates and a rising dollar, developments that make exports more expensive.

In messages on his Twitter account, Donald Trump has already accused the European Union and China of manipulating their currencies. Asked if he believed in the independence of the Fed, the US president replied: “I believe in a Fed making the right choices for the country.

As for the relevance of his choice of Jerome Powell to lead the Fed, Donald Trump added “I’ll tell you in seven years .


About Dawn Richard

In addition to writing for NextColumn, Dawn Richard contributes to other publications including Sensiblereason and Natural News. He studied Computer Science and Journalism at Boston University, and also worked in BBC as well as in the public sectors.

View all posts by Dawn Richard →

Leave a Reply