If the Federal Reserve continues raising interest rates, President Donald Trump will continue offering public criticism, the president told Reuters in a recent interview published Monday.
Trump said the Fed should do “what’s good for the country”.
Trump told Reuters that he was "not thrilled" with Fed Chair Jerome Powell for raising rates. Asked whether the Fed should be more accommodating, he said, "I should be given some help by the Fed." The president said he would criticize the Fed if it continues to raise rates.
"I'm not thrilled with his raising of interest rates, no. I'm not thrilled," Trump said in the interview.
The Fed has raised rates a total of five times this year, twice under Powell, who was nominated by Trump to succeed former Fed Chair Janet Yellen.
The Fed will meet again in a few weeks to discuss another raise, which is expected happen in September and possibly again before year’s end.
It is unusual for presidents to openly criticize Fed chairs, who are supposed to be independent. But Trump already did so in an interview on CNBC earlier this summer. "These types of comments could be perceived to threaten the autonomy of the Federal Reserve," said Lindsey Piegza, chief economist at Stifel.
The Fed has been working to bring rates back to a neutral level from historic lows after it pumped cash into the economy following the 2008 financial crisis.
"This is by any measure this is a very solid U.S. economy, supported by fiscal policy, private solid spending," said Nathan Sheets, chief economist at PGIM Fixed Income. "By any theory of central banking, they need to move the rate back to neutral. There are many more risks if they fail to do that. There's a strong case for the Fed to act pre-emptively."