President Donald Trump once again attacked the Federal Reserve on Wednesday, noting that interest rates should fall to "zero or less", amid expectations that the US central bank will re-write rates at the end of the month.
"The Federal Reserve should lower our interest rates to zero or lessand we should therefore start refinancing our debt, "wrote Trump on Twitter.
"The United States should always pay the lowest rate. Without inflation It is only the ingenuity of Jay Powell and the Federal Reserve that does not allow us to do what other countries are already doing, "he added. He also said it was a" unique opportunity "that was wasted from "empty heads", referring to Fed Leaders.
Among the signs of a slowdown in the economy in the United States, Trump has increased his attacks against the central bank and Powell – whom he himself appointed for a year and a half – for not having eased monetary policy quickly that the president wanted.
The "price of money" in the United States It is the largest of the economies that make up the G7and, for example, the European Central Bank (ECB) maintains and the Bank of Japan maintains interest rates on negative ground, below zero. Maintaining a positive rate gives room for maneuvering to apply an economic injection before a possible recession scenario, feared by markets and analysts.
Investors expect the Fed to cut rates by 25 basis points, while the global economy is slowing and the trade war between Washington and Beijing is getting longer.
The Federal Reserve cut the interest rate last month for the first time in almost a decade, partly due to the impact of commercial uncertainty on growth prospects.
Powell has promised to take action to ensure that the US economy continues to expand, but has warned that the Fed does not have a manual to respond to the uncertainty caused by tensions between the United States and China.
The American economy has progressed at an annual rate of 2% in the second quarter of 2019, according to the first calculation of the evolution of gross domestic product (GDP) in that period, a sign of slowing down after recording 3, 1% in the first quarter.
(With information from AFP and AP)