clearn.png
Thursday October 17th, 2019 1:32AM

Trump signals frustration with Fed's independent policies

By The Associated Press
Related Articles
  Contact Editor

WASHINGTON (AP) — President Donald Trump complained Monday that President Xi Jinping enjoys a major advantage in the U.S.-China trade war in that he controls China's central bank while Trump must deal with a Federal Reserve that is "very destructive to us."

Trump made clear in an interview with CNBC his frustration with a system that provides political independence for America's central bank — something most economists see as vital to its credibility. Trump noted that China's president, by contrast, is essentially also head of the Chinese central bank.

"He can do whatever he wants," Trump said in the interview.

Trump also complained that even though he selected four of the Fed's five board members, including elevating Jerome Powell to chairman, "We have people on the Fed that really weren't, you know, they're not my people."

Speaking of the Fed's policymaking committee, the president expressed exasperation that the panel raised its key short-term rate four times last year and acted to reduce the Fed's balance sheet — action that had the effect of tightening credit — despite his public warnings against it.

"They certainly didn't listen to me because they made a big mistake," Trump said.

Last week, Powell helped fuel a rally in the stock market by holding out the possibility that the Fed will soon cut rates to protect the economic recovery from any damage resulting from Trump's trade wars. Many analysts think the Fed will cut rates more than once before year's end, perhaps beginning in July.

In addition to choosing Powell, a Republican whom President Barack Obama had named to the Fed board, to be chairman, Trump has filled three other vacancies on the board in his first two years in office. Lael Brainard is the only Democrat on the board.

There are still two vacancies on the seven-member board. Trump had earlier intended to nominate two political allies — Herman Cain and Stephen Moore — but both later withdrew in the face of sharp opposition from critics.

On trade, Trump warned that if Xi chooses not to meet with him at the Group of 20 summit late this month in Osaka, Japan, he will move to impose tariffs on the $300 billion in imports from China that haven't already been taxed. But Trump said he expects Xi to meet with him.

"If we do, that's fine and if we don't, that's fine," Trump said.

Trump made his comments during a telephone interview with CNBC's "Squawk Box." Trump criticized the U.S. Chamber of Commerce for objecting to his threat of tariffs to force Mexico to do more to halt the flow of Central American migrants into the United States. The president said he felt the chamber had its priorities wrong.

"They have to start representing the United States, not just the companies that are members of the U.S. Chamber of Commerce," he said.

  • Associated Categories: Associated Press (AP), AP National News, AP Online National News, Top General short headlines, AP Online Headlines - Washington, AP World News, AP Business, AP Business - Industries, AP Business - Financial Services
© Copyright 2019 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
Trump signals frustration with Fed's independent policies
Trump signals frustration with Fed's independent policies in contrast to China's central bank
2:22PM ( 6 minutes ago )
Tony Parker says he's retiring from NBA after 18 seasons
Four-time NBA champion Tony Parker has announced he's retiring from the NBA after 18 seasons.
2:21PM ( 7 minutes ago )
California man guilty of killing family of 4 found in desert
A jury has convicted a Southern California man of killing a family of four and burying their bodies in the desert
2:15PM ( 12 minutes ago )
Associated Press (AP)
Trump insists there's more to Mexico deal than meets the eye
President Donald Trump is insisting there's more to the deal than meets the eye after being stung by criticism that his deal with Mexico to avert tariffs mostly ramps up existing efforts
1:41PM ( 46 minutes ago )
Ex-Virginia attorney general named to US immigration post
Former Virginia Attorney General Ken Cuccinelli, an outspoken supporter of President Donald Trump's hardline immigration policies, has been named acting director of the agency that manages legal immigration
1:36PM ( 51 minutes ago )
Justice agrees to release key Mueller evidence to Congress
The chairman of the House Judiciary Committee says the Justice Department has agreed to turn over some of the underlying evidence from special counsel Robert Mueller's report
1:25PM ( 1 hour ago )
AP Online Headlines - Washington
Stocks rise after US deal with Mexico; car companies gain
Technology companies are helping power a broad rally on Wall Street in afternoon trading after the U.S. and Mexico averted a trade war and potentially damaging tariffs
1:49PM ( 38 minutes ago )
10 candidates running in Brexit-dominated UK leadership race
Leading lawmakers from Britain's governing party are battling over Brexit as the contest to become the next Conservative prime minister officially kicks off with the declaration of 10 candidates for the top job
1:28PM ( 1 hour ago )
Salesforce buying Tableau as businesses embrace data
Salesforce is buying Tableau Software in a $15.7B all stock deal
1:22PM ( 1 hour ago )
AP Business
Protesters burn tires, block roads in Haiti, at least 1 dead
Thousands of protesters denouncing corruption have paralyzed much of the Haitian capital as they demand the removal of President Jovenel Moise
7:31PM ( 18 hours ago )
G-20 finance officials pledge to protect global growth
Finance ministers and central bank chiefs from the Group of 20 major economies have wrapped up a meeting in Japan with a pledge to use all the policies they can to protect global growth
8:07AM ( 1 day ago )
G-20 talks trade, finance as Japan readies for Osaka summit
G-20 officials discuss trade, finance as Japan readies for Osaka summit
3:50AM ( 1 day ago )
AP Business - Industries
Trade war clouds outlook as finance chiefs meet in Japan
Trade war clouds outlook as finance chiefs, central bankers meet in Japan
7:22PM ( 2 days ago )
US stock market notches best week since late November
Wall Street turned the page on a painful May in the stock market by notching its best week since late November
4:54PM ( 2 days ago )
Markets Right Now: Stocks rise as rate cut looks more likely
Stocks are closing higher Friday as a lackluster report on hiring increases the odds the Federal Reserve will cut interest rates in the coming months.
4:13PM ( 2 days ago )
AP Business - Financial Services
Tony Parker says he's retiring from NBA after 18 seasons
Four-time NBA champion Tony Parker has announced he's retiring from the NBA after 18 seasons.
2:21PM ( 7 minutes ago )
California man guilty of killing family of 4 found in desert
A jury has convicted a Southern California man of killing a family of four and burying their bodies in the desert
2:15PM ( 12 minutes ago )
Argentina earns first World Cup point with 0-0 Japan draw
A resolute Argentina held former champion Japan to a 0-0 draw Monday in their opening Group D match at the Women's World Cup
2:07PM ( 20 minutes ago )
Ex-Boston slugger David Ortiz shot at Dominican Republic bar
A spokesman for David Ortiz says the former Boston Red Sox slugger is in stable condition in intensive care as he recovers from a shooting at a bar in his native Dominican Republic
2:04PM ( 24 minutes ago )
Central Americans pursue US dream despite Mexico crackdown
Central Americans still dream of reaching the US even as Mexico cracks down on migrants entering the country
2:03PM ( 25 minutes ago )