Trump Rails Against Reserve: 'Most Difficult Problem' Facing Nation
President Donald Trump slammed the Federal Reserve on Friday night calling it the “most difficult problem” the United States faces.
“Strong jobs report, low inflation, and other countries around the world doing anything possible to take advantage of the United States, knowing that our Federal Reserve doesn’t have a clue!” Trump tweeted.
“They raised rates too soon, too often, & tightened, while others did just the opposite … As well as we are doing from the day after the great Election, when the Market shot right up, it could have been even better – massive additional wealth would have been created, & used very well.
“Our most difficult problem is not our competitors, it is the Federal Reserve!”
….As well as we are doing from the day after the great Election, when the Market shot right up, it could have been even better – massive additional wealth would have been created, & used very well. Our most difficult problem is not our competitors, it is the Federal Reserve!
— Donald J. Trump (@realDonaldTrump) July 6, 2019
The president’s criticisms came just a day after a recent job report revealed the economy added roughly 224,000 jobs in June.
On Friday, Trump called the report “unexpectantly good” and said that the economy would be breaking records if the Fed would have taken his advice and lowered interest rates, The Hill reported.
“We’re paying a lot of interest and it’s unnecessary, but we don’t have a Fed that knows what they’re doing,” Trump said.
“If we had a Fed that would lower rates, you would have a rocket ship.
“When Obama, President Obama was here, he paid close to zero interest rates. I’m paying real interest, and yet our economy is much better than it’s ever been.”
The president has been a constant critic of the Federal Reserve and specifically Federal Reserve Chairman Jerome Powell’s leadership.
Last October, Trump criticized the Fed in a Fox Business Network interview as his “biggest threat” because it was “raising rates too fast.”
“The Fed is raising rates too fast and it’s independent so I don’t speak to them but I’m not happy with what he’s doing because it’s going too fast because you looked at the last inflation numbers they are very low,” he told Fox Business Network host Trish Regan.
It seemed that Trump suggested that he regretted nominating Powell for the position.
“Can I be honest? I’m not blaming anybody. I put him there and maybe it’s right maybe it’s wrong, but I put him there,” he said.
He told Regan that he felt tricked by Powell because he expected him to keep the interest rates low.
The Federal Reserve has increased interest rates nine times in four years, The Hill reported. Four of those times were under Powell who took over the position just last year.
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