President Trump Donald John TrumpGOP senators shrink from protracted impeachment Warren plans to build 2020 movement 2020 Democrats play veteran vote MORE On Thursday, Federal Reserve Chairman Jerome Powell mocked that he had refused In a tweet, the president pointed to Walmart's "big numbers," noting that the retail chain had managed to avoid price increases despite Trump's tariffs on Chinese goods. 1
Walmart announces big numbers. No impact of tariffs (which contribute billions of dollars to our treasury). Low inflation (do you hear that, Powell?)!
– Donald J. Trump (@realDonaldTrump) November 14, 2019
Trump's Tweet is the latest in more than a year of barbs and attacks intending to pressure the Fed to lower interest rates, to boost the economy. The president has urged the independent central bank to take this step and cheapen the US dollar to support its trade battles.
The Fed cut interest rates three times in 2019, having been cut four times in the past year, partly because of the cost of installing the Trump tariffs. Trump has called on the Fed to move closer to the zero or negative rate seen in recession-stricken countries.
The Fed has never lowered interest rates below 0 percent and only lowered rates to zero in times of severe crisis. Powell told lawmakers on Wednesday that it would make no sense to reach the lowest interest rates as long as the US economy is virtually unemployed.
"Our economy is in a strong position. We have growth. We have a strong consumer sector. We have a slightly below-target inflation, "Powell said.
"The very, very low and even negative interest rates that we see around the world would not be appropriate for our country." strong slowdown in global economic growth, unsuccessful attempts to reduce trade tensions and widespread geopolitical turmoil. While business investment, manufacturing and exports declined over the year, the US still has a low unemployment rate and strong consumer confidence.
Powell said Wednesday that the US should be able to stabilize and expand a record high economic growth. Economists are broadly in agreement that the US today is facing fewer recessionary outcomes than in times when fears about the summer continued, though new tariffs could quickly change that momentum. Chinese goods are expected to raise import taxes again on 15 December , Economists warn that upcoming tariffs on major Chinese consumer goods worth more than $ 100 billion could raise prices and hinder vulnerable consumers.