Trump Cites Powell's "Lack of Vision" Seeks 100 Basis Point Rate Cut and QE

-edited

Trump blasted Fed Chair Jerome Powell in a pair of Tweets today. Trump wants huge rate cuts and possibly some QE.

No Vision

100 Basis Points and Perhaps QE

The Wall Street Journal comments Trump Calls for a Big Fed Rate Cut, Again Criticizes Central Bank Chairman.

While the president has blamed the state of the economy on the Fed pushing interest rates too high last year, many in business and at the Fed say Mr. Trump’s own trade policies have triggered market jitters and slowed business investment.

White House and campaign aides acknowledge privately that a recession would threaten Mr. Trump’s 2020 re-election campaign, which has made a booming economy a central selling point. On Tuesday, the White House has arranged a call in which National Economic Council Director Larry Kudlow is expected to reassure state and local officials about the state of the economy.

Asked in an interview on Fox News about possible economic alarm bells, White House counselor Kellyanne Conway on Monday played down the chance of a slowdown.

“It’s nice to have the mainstream media finally covering the economy, but they only cover it when they can use Sesame [Street’s] Grover word of the day, ‘recession,’ ” she said.

2011 Flashback

"No Recession in Sight": Translating Trump and Kudlow

Today's Trumpian Tweets fit right in with my precious post "No Recession in Sight": Translating Trump and Kudlow.

I doubt it, but perhaps a huge cut would buy a three-month recession delay.

That may or may not be enough time to help Trump in the 2020 election.

Mike "Mish" Shedlock

Comments (26)
No. 1-15
CautiousObserver
CautiousObserver

Gag order on Federal Reserve Bank Presidents a few days ago and now President Trump calling for 100 bps cut and more QE. I imagine something is going to blow.

WCVarones
WCVarones

Let's use MMT to buy Greenland.

Sechel
Sechel

These tweets were written FOR Trump. He's never used a phrase like basis points before

Casual_Observer
Casual_Observer

If the economy is strong then why is a rate cut needed ? Anyone...anyone know the answer ? Something something D O O economics...>V O O D O O ecnomics <

Augustthegreat
Augustthegreat

Trump really needs Negative interest rate, for treasuries and for mortgages, to avoid a recession before the election.