Saturday , April 17 2021

Trump opens a new volley of criticism of the central bank



Donald Trump said Tuesday that he was "not even a little happy," the chairman of the US central bank that it has appointed, and believes that the Fed makes a mistake due to the increase in interest rates in the interview & # 39; S N Washington Post.
"As long as I'm not even a little glad that I chose Jay (Powell, chairman of the central bank). Not even a little. And I do not blame anyone, but what I you say that the Fed's totally off base with what she's doing, "the president said in a new turn of criticism against the central bank and its president.

In this interview, & # 39; w about twenty minutes, the President again accused the Fed – an institution he described as a "pitch & # 39; yat" – hurt the economy by raising interest rates. "I'm doing a transaction and the Fed does not help me," the president said. "They make a mistake, because the instinct, instinct tells me that sometimes the brain anyone else can never tell me," the president said.

Mr. Trump's constant criticism against Jerome Powell and the central bank is completely against the tradition of public reserve adopted by a majority of its predecessors. Himself, Mr. Trump did not hesitate to publicly criticize the Fed, if something goes wrong in the economy. Wall Street fall ". The Fed dropped on his head» General Motors will eliminate thousands of jobs, "the Fed is close to the plate."

Mr. Trump is far from the only worry the Fed tightening interest rates after almost ten years of virtually free money. Some economists fear that it kills almost perfect economy, with GDP growth of 3.5% in the third quarter and the unemployment rate at 3.7%, the lowest in 48 years, and controlled inflation.

National Bank, he seeks to explain that the current level of its cost of money still continues to drive growth, and it will have to increase "gradually" rates to avoid overheating.

If a further increase is expected in December, officials of the Monetary Committee – setting interest rates – are now indicate that they will take a close look at the economic data to determine increases in the future.

Jerome Powell, who took office in February, will be able to meet on Wednesday, when the president – not much of a home – at least explain again his reasoning. This will give a welcome speech markets in New York at 17:00 GMT.

highlights


Source link