The president of the United States, Donald Trump, returned to ask the Federal Reserve (FED) on Wednesday to reduce interest rates in a “full point” after what he considers “excellent” inflation indices, which rose only one tenth in May to 2.4% year -on -year.
“The IPC has just been published (consumer price index). Excellent numbers! The Fed should lower a complete point. We would pay much less interest on the debt that it expires. Very important!” The president wrote in capital letters in a publication in his social truth network.
The Bureau of Labor Statistics (BLS), published today, records that inflation in the United States only rose one tenth in May with respect to the data of the previous month, both in the general index and in the underlying, which increased 2.8 % compared to last year.
Both figures are below the estimated by analysts, who had calculated a greater impact of the tariffs announced in April by Trump, which would allow the Fed to keep the caution on a possible decrease in interest rates despite the pressures of the White House.
Trump urged the Fed several times to reduce their interest rates, which are currently in the range of 4.25 to 4.5%. The next meeting of the Federal Open Market Committee (FOMC) to evaluate possible ups or declines will take place on June 17 and 18.
Read more: families in the US say that their finances are fine, but that inflation is a problem: Fed survey
Trump maintains his enmity with president of the Fed
The president charged last week against the president of the FED, Jerome Powell, and described his work against the agency, while assuring that the delay in lowering the rates “is costing a fortune” to the country, where “there is practically no inflation.”
Two days before Trump had already requested a cut at the stagnation registered in the private employment sector, indicates a report by the ADP payroll processing firm, which reported an increase of only 37,000 positions in May, well below the 110,000 forecast advanced by analysts.
Trump starred in public encounters with Powell, whom he has not only recriminated to act too late, but also assured that he knows more than him, he called him “fool” and threatened the dismissal, something that does not allow the law. Meanwhile, the president of the Fed defended the independence of the agency.
The Fed already advanced that by the end of the year there is “one or two descents” of the rates.
With EFE information
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