Apr 30, 2019
Trump pressures Fed over interest rates as central bank meets
Bloomberg News
,President Donald Trump suggested Tuesday that if the Federal Reserve cut interest rates by one percentage point and resumed bond purchases it would boost the economy “like a rocket,” as central bank policy makers met to decide on where to set borrowing costs.
In a pair of tweets, Trump criticized the Fed for having “incessantly lifted interest rates” amid “wonderfully low inflation” in the U.S.
China is adding great stimulus to its economy while at the same time keeping interest rates low. Our Federal Reserve has incessantly lifted interest rates, even though inflation is very low, and instituted a very big dose of quantitative tightening. We have the potential to go...
— Donald J. Trump (@realDonaldTrump) April 30, 2019
....up like a rocket if we did some lowering of rates, like one point, and some quantitative easing. Yes, we are doing very well at 3.2% GDP, but with our wonderfully low inflation, we could be setting major records &, at the same time, make our National Debt start to look small!
— Donald J. Trump (@realDonaldTrump) April 30, 2019
Trump has repeatedly blasted the Fed for raising interest rates, saying the central bank has suppressed economic growth. Tuesday’s comments come as his pick to join the Federal Reserve Board, Stephen Moore, has faced criticism from two key Republican senators over his previous writing disparaging women and Midwest cities.
The Federal Open Market Committee is meeting Tuesday.