US President Donald Trump called upon the Federal Reserve to make a “big interest rate drop” in a series of tweets.
“Producer prices in China shrank most in 3 years due to China’s big devaluation of their currency, coupled with monetary stimulus,” Trump noted and questioned if the Fed is not watching. “Will the Fed ever get into the game? Dollar strongest ever! Really bad for exports. No inflation, highest interest rates.”
“The United States, because of the Federal Reserve, is paying a much higher interest rate than other competing countries. They can’t believe how lucky they are that Jay Powell and the Fed don’t have a clue. And now, on top of it all, the oil hit. Big interest rate drop, stimulus!” Trump concluded.
The market ignored Trump’s remarks and the US Dollar Index was last up 0.6% on the day at 98.45.