Trump: I think the Fed has gone crazy

by Francis Monfort11 Oct 2018

President Donald Trump once again made remarks about the Federal Reserve amid expectations of a fourth rate hike before the year ends, according to a report by CNBC.

"I think the Fed is making a mistake. They are so tight. I think the Fed has gone crazy," Trump said Wednesday.

Bloomberg reported in August that Trump complained about the rate hikes under Chairman Jerome Powell during a fundraiser attended by Republican donors.

Given fears of rapid increases in rates, the Dow Jones Industrial Average dropped more than 800 points Wednesday. Meanwhile, the S&P 500 recorded its worst day since February.

"Actually, it's a correction that we've been waiting for for a long time, but I really disagree with what the Fed is doing," Trump said.

There have been three rates hikes in 2018 so far, and the Fed is widely expected to increase rates once more before the year ends.

After the Fed announced a hike in September, Trump said at the time that he was "worried about the fact that they seem to like raising interest rates, we can do other things with the money."

The president’s latest comments come just a day following his criticism of the Fed’s approach to monetary policy. "We don't have to go as fast," Trump said on Tuesday. Trump also said that he did not want a slowdown in the company, "even a little bit," in case there are no signs of inflation.

 

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