- USD/JPY remains on the backfoot despite Trump’s attempt to Twitter-up the stock markets.
- Trump blames the Fed’ for the inverted yield curve, “…Say THANK YOU to clueless Jay Powell and the Federal Reserve.
President Trump is making comments over Twitter with respect to the inverted yield curve and is blaming the Federal Reserve:
“We are winning, big time, against China. Companies & jobs are fleeing. Prices to us have not gone up, and in some cases, have come down. China is not our problem, though Hong Kong is not helping. Our problem is with the Fed. Raised too much & too fast. Now too slow to cut….
..Spread is way too much as other countries say THANK YOU to clueless Jay Powell and the Federal Reserve. Germany, and many others, are playing the game! CRAZY INVERTED YIELD CURVE! We should easily be reaping big Rewards & Gains, but the Fed is holding us back. We will Win!”
Nothing that Trump says can encourage a bid in the stock market today. The DJIA is down -2.89% and the S&P is down -2.74% at the time of writing. The Yen outperforming the Fx space, +0.67% vs the Dollar at the time of writing.