Trump Demands 1% Interest Rates, Threatens Trade Retaliation
US President Donald Trump has once again called for the Federal Reserve to lower interest rates in the US. In a post on his Truth Social platform, Trump argued that the country's creditworthiness justifies historically low borrowing costs.
Trump stated that 'Interest Rates in the United States should be 1%, or less, because we are the Best Credit in the World -- BY FAR.' He also claimed that the US is 'BOOMING with new Investment!'
The President floated cutting trade ties with countries running surpluses against the US, suggesting that this would generate significant revenue. 'If we stopped Trading with every country that we have a Deficit with, which is most of them, we would make, at least, 1.5 Trillion Dollars a year,' he wrote.
Trump's comments come after Federal Reserve Chair Kevin Warsh raised interest rates by 25 basis points on Wednesday, the central bank's first hike in more than three years. The President has repeatedly clashed with the Fed over its rate policy, calling for borrowing costs as low as 1% or less.