The current US president has made headlines in recent months by breaking with tradition and publicly criticizing the Federal Reserve’s interest-rate policy. But White House economic adviser Larry Kudlow says his boss has “not yet” made a call to tell Fed chairman Jerome Powell to stop raising rates.
“The president … knows a lot about this. He’s giving his opinion,” Kudlow said at an event on small business held by The Washington Post.
“One way or another … presidents are always giving the Fed advice,” he added, citing an account from former Federal Reserve chairman Alan Greenspan’s new book as evidence of this.
“He’s concerned that the Fed is moving its target rate up too high and too rapidly. By the way, a lot of distinguished economists hold that view,” Kudlow noted.
When asked directly whether President Donald Trump has personally told Powell to stop with the rate increases, Kudlow said “not yet.”
He also reiterated that Trump was not considering a move to demote Powell from his position as chairman.
Trump has used colorful language to describe the Fed’s current interest-rate policy as “loco” and “out of control” and has tweeted that raising rates hurts US competitiveness with China.