• Latest
  • Trending
  • All
The Federal Reserve Board building on Constitution Avenue is pictured in Washington, U.S.

Fed sees U.S. economy on track, Trump renews Fed gripes

April 15, 2020 11:29
Dollar lacks upside momentum due to lower Treasury yields

Dollar comes off fresh lows in volatile trading

May 27, 2022 06:55
Investor sentiment mixed in thinner pre-holiday deals

Investors cautiously optimistic ahead of the weekend

May 27, 2022 04:15
Dollar lacks upside momentum due to lower Treasury yields

USD back under pressure as market sentiment improves

May 26, 2022 06:57
Downbeat tone ahead of news from the US

Markets digest FOMC meeting minutes

May 26, 2022 06:46
Dollar lacks upside momentum due to lower Treasury yields

Dollar off one-month lows as bulls reenter the game

May 25, 2022 06:12
Market sentiment worsens across the world

Stocks bounce after another widespread sell-off

May 25, 2022 04:54
Dollar lacks upside momentum due to lower Treasury yields

Greenback trims losses, but stays offered nearly across the board

May 24, 2022 06:12
Global stocks in recovery mode but still cautious

Stocks back under pressure after short-lived relief rally

May 24, 2022 04:42
Dollar lacks upside momentum due to lower Treasury yields

Dollar keeps bleeding as bearish correction continues

May 23, 2022 06:27
Markets digest the inflation shock, dollar enjoys the rally

Dollar sags as investor sentiment keeps improving

May 23, 2022 05:09
Dollar lacks upside momentum due to lower Treasury yields

USD treads water after plunge, markets steady ahead of the weekend

May 20, 2022 06:21
Investor sentiment looks neutral at the start of the week

Modest bounce after sell-off ahead of the weekend

May 20, 2022 04:51
  • Terms & Сonditions
  • Contact
Saturday, May 28, 2022
FWNews - pulse of the forex market
  • FUNDAMENTALS
    Investor sentiment mixed in thinner pre-holiday deals

    Investors cautiously optimistic ahead of the weekend

    Downbeat tone ahead of news from the US

    Markets digest FOMC meeting minutes

    Market sentiment worsens across the world

    Stocks bounce after another widespread sell-off

    Global stocks in recovery mode but still cautious

    Stocks back under pressure after short-lived relief rally

    Markets digest the inflation shock, dollar enjoys the rally

    Dollar sags as investor sentiment keeps improving

    Investor sentiment looks neutral at the start of the week

    Modest bounce after sell-off ahead of the weekend

    Geopolitical tensions ease but risks persist

    Global stock rout continues on growth fears

    Chinese data spooks investors, sentiment turns sour

    Stock markets turn directionless after a bounce

    Sentiment turns sour, dollar steadies ahead of the weekend

    USD gives up gains as risk sentiment improves further

  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage
No Result
View All Result
FWNews - pulse of the forex market
  • FUNDAMENTALS
    Investor sentiment mixed in thinner pre-holiday deals

    Investors cautiously optimistic ahead of the weekend

    Downbeat tone ahead of news from the US

    Markets digest FOMC meeting minutes

    Market sentiment worsens across the world

    Stocks bounce after another widespread sell-off

    Global stocks in recovery mode but still cautious

    Stocks back under pressure after short-lived relief rally

    Markets digest the inflation shock, dollar enjoys the rally

    Dollar sags as investor sentiment keeps improving

    Investor sentiment looks neutral at the start of the week

    Modest bounce after sell-off ahead of the weekend

    Geopolitical tensions ease but risks persist

    Global stock rout continues on growth fears

    Chinese data spooks investors, sentiment turns sour

    Stock markets turn directionless after a bounce

    Sentiment turns sour, dollar steadies ahead of the weekend

    USD gives up gains as risk sentiment improves further

  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage
No Result
View All Result
FWNews - pulse of the forex market
No Result
View All Result

Home » Fed sees U.S. economy on track, Trump renews Fed gripes

Fed sees U.S. economy on track, Trump renews Fed gripes

U.S. central bankers on Wednesday expressed confidence they have borrowing costs at the right level to sustain growth and lift inflation to healthier levels, despite what businesses say is a lingering drag from uncertainty over U.S. trade policy.

by FWNews
April 15, 2020 11:29
in News
0
The Federal Reserve Board building on Constitution Avenue is pictured in Washington, U.S.

But even during the signing ceremony for a trade deal with China that promises to clear up some of that uncertainty, President Donald Trump reprised a long-running gripe against the Federal Reserve, and appeared to identify a possible new Fed chair who might fix the problem.

“I could have used you a little bit here,” Trump said to former Fed Governor Kevin Warsh, who made no secret in Trump’s first year in office that he wanted the Fed chair job. Trump picked Jerome Powell instead, a move he has since said he regretted. “Why weren’t you more forceful when you wanted that job? … I would have been very happy with you. But Kevin, thank you for being here. You understand that very well, right?”

From there, Trump launched for the first time in about a month into what has been a recurrent complaint against the Powell Fed.

“We’re the number one [economy] in the world by far, and we have to pay for our money,” Trump said, contrasting U.S. borrowing costs with Europe’s negative interest rates, a function of that region’s slower growth and dimmer outlook. “Our interest rates are set high by the Fed. Our dollar’s very high.”

That is not the way Fed policymakers see it.

Last year, with Trump waging a trade war with China and other countries, and Europe slowing, the U.S. central bank cut rates three times to a target range of 1.5% to 1.75%, a level it expects to stick to for the time being.

Rates are currently in a “good place,” unless there is a substantial change in inflation, Philadelphia Fed President Patrick Harker said on Wednesday in New York, adding that low rates can encourage excessive risk-taking.

Dallas Fed President Robert Kaplan, speaking at a separate event in New York, voiced renewed skepticism that negative rates can help economic growth and said he expects the U.S. economy to grow at about 2% this year, slower than last year but still fast enough to push down on unemployment in his view.

“My expectation is inflation will gradually go back up to target and reach a sustainable 2% in 2021,” San Francisco Fed President Mary Daly said at the Bishop Ranch Executive Forum in San Ramon, about an hour’s drive from her bank’s headquarters.

She too said the economy will grow at about 2%, keeping unemployment at its current 3.5% level and pushing up wages by between 3% and 3.5%. “If it went up a little bit more, that would only get us to our inflation target a little bit faster,” Daly said.

The three policymakers spoke on the same day Trump and Chinese Vice Premier Liu He signed an initial trade deal at the White House after 18 months of tit-for-tat tariffs between the world’s two largest economies that has uprooted supply chains and slowed global growth.

A survey conducted by the Fed in late 2019 and released on Wednesday showed that uncertainty over U.S. trade policy continued to hurt firms, even as the U.S. economy expanded at a modest pace.

“In many districts, tariffs and trade uncertainty continued to weigh on some businesses,” the Fed said in its report, compiled from questionnaires and interviews with business contacts across the country.

Powell’s term as Fed chair runs to 2022, a term he expects to complete despite searing criticism from Trump. Americans choose their next president at elections in November, and if Trump keeps his job as president he has made it clear he would replace Powell.

Warsh was a Fed policymaker for five years until 2011, when he resigned in the wake of the Fed’s decision to launch its second round of bond-buying, a move Warsh worried would exacerbate what he viewed as already overly accommodative monetary policy.

Source: REUTERS
Tags: Federal Reserve
Share3Tweet2
ADVERTISEMENT
FWNews

FWNews

Track the pulse of the market

Related Posts

Dollar lacks upside momentum due to lower Treasury yields
Technical analysis

Dollar off one-month lows as bulls reenter the game

May 25, 2022 06:12
20
Market sentiment worsens across the world
Fundamental analysis

Stocks bounce after another widespread sell-off

May 25, 2022 04:54
21
Dollar lacks upside momentum due to lower Treasury yields
Technical analysis

Dollar refrains from a deeper retreat

May 13, 2022 06:04
16
Geopolitics pushes global markets south, dollar bulls back in the game
Fundamental analysis

Post-Fed rally fades, USD recovers

May 5, 2022 05:56
13
Dollar lacks upside momentum due to lower Treasury yields
Technical analysis

Currencies little changed ahead of Fed’s verdict

May 4, 2022 04:56
13
Investor sentiment mixed in thinner pre-holiday deals
Fundamental analysis

All eyes on the Fed

May 4, 2022 04:50
14

Leave Your Opinion Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

ECB and National Bank of the Republic of North Macedonia set up repo line to provide euro liquidity

August 18, 2020 13:56
10
Tech analysis

Euro consolidates its recent gains, GBP rallies

July 29, 2020 10:04
12
Pound corrects higher due to dollar weakness

Dollar struggles to hold onto early gains despite risk-off tone

February 22, 2021 03:07
17

Ads

Shneider Electric

Most Popular

A slow start to the week in FX markets
Technical analysis

Dollar regains ground to start the week

January 25, 2021 07:25
118
A slow start to the week in FX markets
Technical analysis

Greenback advances modestly amid strong data

May 28, 2021 07:38
110
Kim Jong Un reportedly says his nuclear weapons guarantee there will be no more war
News

Kim Jong Un reportedly says his nuclear weapons guarantee there will be no more war

July 28, 2020 08:29
95
FWNews

Copyright © 2020 FWNews

  • Terms & Сonditions
  • Contact
No Result
View All Result
  • FUNDAMENTALS
  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage

Copyright © 2020 FWNews