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Trump Calls for Fed’s ‘Boneheads’ to Slash Interest Rates Below Zero

MTAtech

MTAtech

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[h=1]Trump Calls for Fed’s ‘Boneheads’ to Slash Interest Rates Below Zero[/h]
Sept. 11, 2019, 8:02 a.m. ET
WASHINGTON — President Trump urged the Federal Reserve to cut interest rates below zero, suggesting a last-ditch monetary policy tactic tested abroad but never in America.

His comments came just one day before European policymakers are widely expected to cut a key rate further into negative territory.
In a series of tweets, Mr. Trump said that “The Federal Reserve should get our interest rates down to ZERO, or less, and we should then start to refinance our debt,” adding that “the USA should always be paying the the lowest rate.”
...

The Fed itself has already cut rates for the first time in more than a decade in July and is poised to lower borrowing costs further as risks to economic growth loom. Mr. Powell and his colleagues lowered interest rates to a range of 2 percent to 2.25 percent at their July meeting, and they are widely expected to cut by another quarter of a percentage point at their meeting next Tuesday and Wednesday in Washington.
“The Fed has, through the course of the year, seen fit to lower the expected path of interest rates,” Mr. Powell said in a speech last week, adding “that’s one of the reasons why the outlook is still a favorable one, despite these crosswinds we’ve been facing.”
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Yeah, there isn't anything wrong with the economy -- we just need zero percent interest rates -- because.

We just need to recall that in 2016 Trump complained that the Fed was keeping interest rates low to help Obama and urged the Fed to raise rates. They weren't. They were keeping them low to boost the economy. Now, with unemployment at 3.7% and him boasting about a strong economy, he wants zero % interest rates. What would we do if there was a recession -- have investors in our bond give us $1,000 for a bond and return them $950 at maturity?
 
It's just further proof that maybe a racist landlord with no actual skillset was perhaps not the greatest pick to run something as complicated as a Federal Government.
 
Christ. Trump and his supporters are dangerous. They take their complete ignorance about a given subject as a plus.

No, we do not need to lower interest rates now. We may need to raise them. Either way, we'll need that limited tool available when a recession actually happens. This flailing Douche In Chief is going to leave us without any way to combat that recession, and he's going to do it all while flailing at re-election (since he's only held on to the deplorable core of his base, shedding others who might have voted for him).
 
Mr Person said:
Christ. Trump and his supporters are dangerous. They take their complete ignorance about a given subject as a plus.

No, we do not need to lower interest rates now. We may need to raise them. Either way, we'll need that limited tool available when a recession actually happens. This flailing Douche In Chief is going to leave us without any way to combat that recession, and he's going to do it all while flailing at re-election (since he's only held on to the deplorable core of his base, shedding others who might have voted for him).
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Trump's trade war has cannibalized his stimulus, and is 90% the reason we are not already @ 3%.
 
Hey, I've got an idea. Let's use every recession tool that we have now so that when a recession comes, we'll be able to do nothing about it.
 
MTAtech said:
[h=1]Trump Calls for Fed’s ‘Boneheads’ to Slash Interest Rates Below Zero[/h]

Yeah, there isn't anything wrong with the economy -- we just need zero percent interest rates -- because.

We just need to recall that in 2016 Trump complained that the Fed was keeping interest rates low to help Obama and urged the Fed to raise rates. They weren't. They were keeping them low to boost the economy. Now, with unemployment at 3.7% and him boasting about a strong economy, he wants zero % interest rates. What would we do if there was a recession -- have investors in our bond give us $1,000 for a bond and return them $950 at maturity?
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It's just more of the same. Trump's obvious focus since getting to the White House has been to exponentially fill the coffers of his own kind in the temporary. A 0% interest rate would encourage excessive growth, increasing a quick cash-grab for those who are within his economic circle, but would hurt the average American citizen in the end when the wealthy shove their new-pocketed cash into their mattresses...just like what they did during the Great Recession. Trickle-Down economics was proven to be a con game, in which Trump and his kind encourage. Other examples of Trump's focus:

- Rolling back Obama-era environmental protections, at once, satisfied his irrational constituency whose entire well being relied on ****ting on Obama and opened the door to energy barons to temporarily exploit and increase revenue for the cash grab while it lasts (the economic trend was already good once the GOP stopped playing anti-Obama games).

- His grand tax-cut scheme gave permanent tax-cuts to his own kind as his moron constituency praised him for their temporary, largely insignificant tax-cuts. Notice, the GOP and FOX News refused to use the term "Trickle Down" this time around. Notice how Conservatives right here in this site have decided to run with the idea that there is no such thing as Trickle-Down, as if it too is "fake news" now. With his trade war with China raising the price of consumer goods and his walking away from the Iran deal encouraging rising gasoline prices, spurring Saudi Arabia to increase their oil production, the temporary tax-cuts to the Middle Class may as well not exist.

- His trade war, if successful, benefits the captain's of industry, not the average American. As proven time and again, any extra money that this gains for high level corporate investors will go to their bank accounts, not the consumer who is growing accustomed to paying higher prices now. Capitalism can be a bitch. And as long as labor is cheaper elsewhere, the companies are not going to come back to America, despite Trump suggestion that "he could force them." Are we sure this bankruptcy-ridden and general idiot even understands how capitalism and a free market works?

- Despite bi-partisan agreement in Congress over blindly supporting Saudi Arabia's economic and military wants, Trump made a bold statement by shrugging off concerns and writing a check anyway. This is less about supporting an ally and more about needlessly satisfying a very wealthy government's policy of welcoming American energy corporations. Again we can see how walking away from the Iran deal has pushed us even closer to Saudi Arabia's oil fields, despite the widely-spoken argument that we need to get away from Middle East energy since 9/11 (of which most of don't even come to us).

- On a personal note, Trump has obviously encouraged the military to fund his failing businesses abroad. And he has even declared that the next G7 meeting be at one of his businesses. Certainly this is not about the average American's economic level. Toss in the fact that he seeks Pentagon money to pay for his partisan adventure on the border and we see his dismissive attitude and perspective of the military as his personal ATM machine.


In 2016, business tycoons and their investors saw in Trump exactly what they got. They finally got one of their own in the White House and got to temporarily sideline their middle men in Congress, who no longer had to work so hard for their business interests. And for this, idiot America voted to "drain the swamp." It would be ironically funny were it not so ****ing pathetic.
 
Helix said:
Hey, I've got an idea. Let's use every recession tool that we have now so that when a recession comes, we'll be able to do nothing about it.
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Well, what it shows is that 2017 tax-cut didn't do what it was advertised to do. What a surprise. Of course, posters like Ludin will tell you that lack of economic growth is because Democrats are concentrating very hard and "willing" the economy to be weak.
 
The shores of this country are burning and all can see it.
 
Helix said:
Hey, I've got an idea. Let's use every recession tool that we have now so that when a recession comes, we'll be able to do nothing about it.
Click to expand...

He just wants to delay the recession until after he loses. He knows the GOP will just blame the Democrats for what the GOP did. Besides, he doesn't give a rat's ass about the country. He's probably going to spend the interim deciding what to short.
 
It's probably for some way for him to make money.

lol
 
Ikari said:
It's probably for some way for him to make money.

lol
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Refinance Trump Co debt with low interest rates, then buy up more property and make money off rent, with zero cost money
 
Mr Person said:
He just wants to delay the recession until after he loses. He knows the GOP will just blame the Democrats for what the GOP did. Besides, he doesn't give a rat's ass about the country. He's probably going to spend the interim deciding what to short.
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Wouldn't surprise me much.
 
Mr Person said:
He just wants to delay the recession until after he loses. He knows the GOP will just blame the Democrats for what the GOP did. Besides, he doesn't give a rat's ass about the country. He's probably going to spend the interim deciding what to short.
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Wouldn't surprise me much.
 
I don't know about anyone else, but it gives me such a sense of security knowing the President can't stop himself from using junior high insults.
 
Remember when as a candidate, Trump said that he would borrow a bunch of money to fund infrastructure improvements and if the added boost to the economy wasn't enough to pay off that borrowing, that he would tell the lenders to take a haircut on US Sovereign debt?

That should have been clear to everyone that he has no idea what he is talking about.
 
So Trump wants to lower interest rates to below zero. That would of course result in a negative ROI to anyone who purchases a U.S. Savings Bond.

Who would do that? Does Trump want everyone to stop investing in America?

By the way, I'd like to visit that fine American factory where Trump ties are made. Can anyone tell me where it is?
 
I have a question:

Why doesn't Trump simply fire the chief of the Fed and appoint someone who will do whatever Trump tells him to? Or better yet, why not just lower interest rates by executive order?
 
Stealers Wheel said:
I have a question:

Why doesn't Trump simply fire the chief of the Fed and appoint someone who will do whatever Trump tells him to? Or better yet, why not just lower interest rates by executive order?
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There are some things even Trump can't get away with. If he tried that even the stooges in congress would revolt. His base would think it was a great idea though.:mrgreen:
 
That from a guy who had how many bankruptcies, and won't disclose his taxes? Bone Spurs has no business calling people who actually studied economics boneheads.
 
Stealers Wheel said:
I have a question:

Why doesn't Trump simply fire the chief of the Fed and appoint someone who will do whatever Trump tells him to? Or better yet, why not just lower interest rates by executive order?
Click to expand...

He can't. He can ask for his resignation, but Federal Reserve Board members are nominated and confirmed to term limits. He would have to show cause... and disagreeing with monetary policy (which is by law designed to act independent of political interests) won't fly.
 
MTAtech said:
[h=1]Trump Calls for Fed’s ‘Boneheads’ to Slash Interest Rates Below Zero[/h]

Yeah, there isn't anything wrong with the economy -- we just need zero percent interest rates -- because.

We just need to recall that in 2016 Trump complained that the Fed was keeping interest rates low to help Obama and urged the Fed to raise rates. They weren't. They were keeping them low to boost the economy. Now, with unemployment at 3.7% and him boasting about a strong economy, he wants zero % interest rates. What would we do if there was a recession -- have investors in our bond give us $1,000 for a bond and return them $950 at maturity?
Click to expand...

He also suggested they "refinance" the national debt. Like it was a kind of mortgage.
 
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