Times of India·3 min read·medium

'Cut rates or I'll halt trade with countries US has deficit with': Trump threatens Fed

A
AYUSH PANDEY
'Cut rates or I'll halt trade with countries US has deficit with': Trump threatens Fed
AI Summary

President Donald Trump has publicly pressured the Federal Reserve to lower interest rates, citing strong job growth as evidence of a robust economy. He further threatened to halt trade with countries that maintain large trade surpluses with the U.S. if his demands for lower rates are not met.

Why it matters

The statement signals a potential shift in executive-monetary policy relations and suggests a more aggressive approach to international trade negotiations.

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US President Donald Trump on Friday renewed pressure on the Federal Reserve to lower interest rates, citing stronger-than-expected job growth and arguing that the United States should have among the world's lowest borrowing costs.Trump made the remarks in a post on X after a jobs report showed employers added 162,000 jobs in August, which he said exceeded market expectations."Great jobs number just announced, breaking all estimates (except mine!) by double and triple - And you haven’t seen anything yet! EMPLOYERS ADDED 162,000 JOB IN AUGUST. Lower the interest rates because the USA is a much stronger credit than it was just a short time ago!

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