U.S. President Donald Trump on Friday called on the Federal Reserve to cut interest rates, saying the strength of the U.S. economy justified lower borrowing costs, and warned that he could halt trade with countries with which the United States runs a deficit.
Trump made the remarks in posts on his Truth Social platform after a stronger-than-expected monthly jobs report, directing his criticism at the central bank and its chairman, Kevin Warsh.
“Lower the interest rates because the U.S.A. is a much stronger credit than it was just a short time ago!” Trump said.
“A strong country means a lower interest rate — it’s a better credit,” he added.
Trump said the United States should have the world's lowest interest rate, arguing that high borrowing costs put the country at an unfair disadvantage.
He also tied his demand for lower rates to his long-running criticism of U.S. trade deficits.
“Lower the rate or I’ll stop trading with countries with which we have a deficit,” Trump said, adding that such a move would be “better than tariffs”.
The warning comes as Trump's administration continues to use tariffs and other trade measures as part of its efforts to reduce the U.S. trade deficit.
Trump also criticised a recent Supreme Court decision on tariffs and called on the Fed's board to act in what he described as the country's interests.
“The Fed Board, with its great new leader, must get smart — be patriots for a change,” Trump said.
“High interest rates put the U.S.A. at a very unfair disadvantage, and I won’t allow that to happen!” he added.
In a later post, Trump continued his criticism of the Fed, arguing that strong economic data should have lifted financial markets rather than raised concerns about inflation.
“Growth does not cause inflation!” he said.
Trump said the U.S. economy should be growing at annual rates of 15 per cent or 20 per cent, rather than the 2 per cent, 3 per cent or 4 per cent rates typically associated with strong economic expansion.
He argued that faster growth would help the United States tackle its debt and strengthen its financial position.
The comments underscore Trump's continued pressure on the Federal Reserve to reduce borrowing costs, despite the central bank's mandate to set monetary policy independently of the White House.
A Norwegian teenager recruited by a Swedish criminal network to carry out a contract killing in Britain has been sentenced to 20 years’ deten...
The U.S. has banned government employees working in Saudi Arabia from using airports in the country without special authorisation. It com...
Student organisations, opposition groups and youth-led activists took to the streets in Patna and Mumbai on Friday (16 October), demanding the resi...
The Saudi-led coalition said early Thursday that it intercepted and destroyed a drone over Saudi Arabia’s Eastern Province.
Yemen’s Houthis have claimed responsibility for the recent drone and missile strikes on Saudi Aramco facilities in Dhahran and Riyadh and at King Khalid International Airport in Saudi Arabia, vowing to carry out more attacks in the coming days.
The U.S. has banned government employees working in Saudi Arabia from using airports in the country without special authorisation. It comes after a deadly Houthi strike on Riyadh's King Khalid International Airport killed at least 13 people last week.
Ukraine's soldiers have had their access to Starlink satellite internet restricted. Kyiv's troops use the terminals, made by Elon Musk's SpaceX, to pilot drones. A source in Ukraine's Defence Ministry said the restrictions would make it harder for Kyiv's army to down Russian drones.
Ukraine is set to restart attacks on Russian oil refineries following a two-day pause, President Volodymyr Zelenskyy said, amid growing tensions with Washington over energy strikes and U.S. military support.
A Norwegian teenager recruited by a Swedish criminal network to carry out a contract killing in Britain has been sentenced to 20 years’ detention after police uncovered the murder plot.
U.S. President Donald Trump has called it “a disgrace” that Ukraine has resumed attacks on Russian oil refineries. Attacks are continuing from Russia and Ukraine as media reports say Ukraine has almost run out of Patriot interceptor missiles.
Romanian rescuers resumed their search for seven missing sailors on Friday (16 October) after a drone strike set a chemical tanker ablaze near the country’s Black Sea coast. The attacks have raised fresh security concerns along a vital regional trade route.
Students, lecturers and university staff marched on Argentina’s Congress in Buenos Aires on Thursday to demand President Javier Milei’s government implement a university funding law which would boost staff salaries and increase financial support to institutions to cover operating costs
A 16-year-old shooter opened fire on Thursday at an elementary school in Bend, Oregon in the United States, killing four people, including three children, before being killed by an armed member of the community who had pursued the assailant into the school, police said.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment