Since taking office, U.S. President Donald Trump has been firing jabs at Federal Reserve Chairman Jerome Powell for raising interest rates–the same man he nominated for the position. With the economy full steam ahead amid a historical bull market run, Trump wants growth to continue singing that same tenor at least through the year 2020 for his re-election bid, and he doesn’t want interest rates to get in the way.
Trump has been leading the chorus on economic growth, taking the opportunity, when presented, to remind everyone that the strong data being extrapolated from the economy is coming under the helm of his presidency. As far as debates go as to who deserves more credit–the former administration under Barack Obama or the current one under Trump–the president made it clear who deserves the majority, if not all, the credit.
“Barack Obama talked a lot about hope, but Donald Trump delivered the American Dream. All the economic indicators, what’s happening overseas, Donald Trump has proven to be far more successful than Barack Obama. President Trump is delivering the American Dream.” Jason Chaffetz
— Donald J. Trump (@realDonaldTrump) September 9, 2018
Since January 2017 when President Trump took office, the Federal Reserve has now hiked interest rates six times versus just once during former president Barack Obama’s tenure. With major stock market indexes like the S&P 500 reaching historic highs with companies like Apple and Amazon crossing the $1 trillion valuation mark, the prevailing sentiment is that another rate hike is to come before the end of 2018 and possibly three or more forecasted for 2019.
Trump ‘Not Happy’ with Rate Hikes
Following the latest rate hike announcement on Wednesday that the Fed would be raising the federal funds rate by 25 basis points to 2.25, Trump took the opportunity at a New York press conference to express his discontent.
“Unfortunately, they just raised interest rates,” said Trump. “I am not happy about that.”