Trump Demands Lower Interest Rates or Threatens to Cut Off Trade
US President Donald Trump issued an ultimatum to the Federal Reserve on Friday, demanding that they lower interest rates. Trump's statement came after a surprisingly strong jobs report was released, showing employers added 162,000 jobs in August. The president claimed this made the US a stronger credit and therefore deserving of lower interest rates.
In his Truth Social post, Trump wrote: 'Lower the interest rates because the U.S.A. is a much stronger credit than it was just a short time ago! A STRONG COUNTRY MEANS A LOWER INTEREST RATE, IT'S A BETTER CREDIT…Very simple!' He also threatened to cut off trade with countries that have a deficit with the US, including China, Canada, Mexico, and European Union nations.
The jobs report showed an unemployment rate of 4.1 percent, matching July's figure. Economists suggest the Fed may act as soon as later this month to counteract inflation.