President Trump on Thursday again accused the Federal Reserve of harming the U.S. economy more than China by refusing to match the near-zero or negative interest rates seen in countries facing economic peril.
In a series of tweets Thursday morning, Trump accused the Fed and its chairman, Jerome Powell, of putting the U.S. at a “competitive disadvantage” for cutting interest rates the previous day by 0.25 percentage points.
The president renewed his claim, first made in August, that the Fed has done more damage to the U.S. economy than China’s alleged anti-competitive behavior. The accusation is one of the president’s sharpest attacks against the independent central bank, and the claim itself has been widely disputed by economists.
“We should have lower interest rates than Germany, Japan and all others. We are now, by far, the biggest and strongest Country, but the Fed puts us at a competitive disadvantage,” Trump tweeted Thursday.
“China is not our problem, the Federal Reserve is! We will win anyway.”
The president insists that the Fed should mirror negative interest rates in Germany and Japan, even though the U.S. economy is much stronger than those of other major economic powers.
“People are VERY disappointed in Jay Powell and the Federal Reserve. The Fed has called it wrong from the beginning, too fast, too slow,” Trump said, also bashing the Fed for raising interest rates four times in 2018.
“Others are running circles around them and laughing all the way to the bank.”