Updated
Updated · Investor's Business Daily · Sep 13
Trump Urges Fed to Cut Rates as Markets Price In 1 Hike This Week
Updated
Updated · Investor's Business Daily · Sep 13

Trump Urges Fed to Cut Rates as Markets Price In 1 Hike This Week

3 articles · Updated · Investor's Business Daily · Sep 13

Summary

  • Trump renewed pressure on the Federal Reserve from Ireland, saying the U.S. should have the world’s lowest interest rates despite expectations for tighter policy.
  • 1 rate hike is largely priced in for this week as crude oil and Treasury yields surge, reinforcing market bets that inflation risks are rising rather than easing.
  • Trump framed his demand around U.S. economic strength, arguing rates should be lower regardless of the Fed’s usual policy formulas.
  • The clash underscores a widening gap between Trump’s public push for cheaper borrowing and investor expectations that the Fed is about to move the other way.

Insights

Could soaring oil prices force the Fed into a surprise rate hike despite calls for cheaper borrowing?
Will the Fed's new secretive strategy trigger market chaos as inflation continues to defy expectations?
Why does Canada currently boast lower borrowing costs than the seemingly unstoppable US economy?