President Trump is not known for making a secret of his opinions on how various facets of the federal government operates. It is one of the things his supporters love most about him and one of the things his critics find most distasteful.
Perhaps among the most-covered commentary when it comes to presidential critiques of federal entities is the president’s outspoken criticism of the Federal Reserve.
For everyone who dislikes the current monetary policies in the United States, President Trump’s ongoing attacks on Fed policy certainly fit the bill.
Recently, the president tackled Fed policies in the context of interest rates, which the Fed declined to raise until quite recently and, even then, only opted to raise a quarter of a percentage point.
President Trump has consistently accused the Fed of “raising rates too soon, too often, & tightened while others did just the opposite,” as he described the situation in one tweet this past July.
President Trump added, “Our most difficult problem is not our competitors, it is the Federal Reserve!” Like many Fed critics, the president believes that the Federal Reserve should have lowered rates much sooner than it did – and to a greater degree when it did so – in order to insulate and protect the country’s longest-running period of economic growth in history.
He has also repeatedly criticized his own Fed chair pick, Jerome Powell, for “ridiculous quantitative tightening” and generally failing to react to market conditions in as expedient a manner as the president believes necessary.
Most recently, President Trump tweeted “Powell let us down” in terms of the relatively minor rate cut the Fed delivered to disappointed investors at the end of July. “What the Market wanted to hear from Jay Powell and the Federal Reserve was that this was the beginning of a lengthy and aggressive rate-cutting cycle which would keep pace with China, the European Union, and other countries around the world,” the president tweeted.
He added, “As usual, Powell let us down, but at least he is ending quantitative tightening, which shouldn’t have started in the first place – no inflation. We are winning anyway, but I am certainly not getting much help from the Federal Reserve!” the president concluded.
President Trump is unlikely to start tweeting positive things about Powell in the near future, either. The Fed Chair was unwilling to indicate in any way that the quarter-point cut was anything other than a one-time event, for now. “Curt Long, chief economist at the National Association of Federally Insured Credit Unions, summed it up: “Beyond that [July rate cut] NAFCU sees no reason to expect further easing this year.”