Trump Slams Fed Over Interest Rate Policy, Cites Comparison with Switzerland
President Donald Trump expressed frustration over the Federal Reserve's interest rate policy, saying that the U.S. should be paying much less. Speaking to reporters on Wednesday, Trump claimed that solid economic data shouldn't stop the central bank from adopting an easier policy stance.
The president accused Fed officials of having political motives, though he excluded Chairman Kevin Warsh, whom he nominated earlier this year. Trump said Warsh is doing a 'great job' in his position, which he began in May after succeeding Jerome Powell.
Trump criticized the fact that the Fed's benchmark interest rate hasn't been raised in over three years, and argued that the pace of reductions hasn't been enough to satisfy him. He claimed that 25 years ago, when the country announced good numbers, interest rates would go down because the country was stronger.
The president also compared the U.S.'s interest rate to Switzerland's, which has its benchmark rate anchored around zero. Trump said he sees countries like Switzerland where they have their lowest interest rates at half a percent, while the U.S. pays 3.5%.