US President Donald Trump on Thursday said that a strong dollar doesn’t necessarily mean good for business. Interest rates take an upward push as the greenback gets stronger and people are certainly not pleased by that, the president said.
“A strong dollar doesn’t necessarily mean all good, but we do have a very strong dollar. And we have interest rates going up at a clip that’s much faster than certainly a lot of people, including myself, would have anticipated,” the US President said.
He also slammed the US Federal Reserve on down sliding of the markets for a consecutive day, and said that the central bank was “out of control”. At the same time, he also ruled out acting against Fed Chief Jerome Powell.
“I think the Fed is out of control. I think what they’re doing is wrong. Under the Obama administration, you had a lot of help because they had very little interest,” Trump said. He also said, “No, I’m not going to fire him (Powell). I’m just disappointed at the clip. I think it’s far too fast. Far too rigid, far.”
While the Dow Jones Industrial Average fell by 546 points, the S&P 500 tumbled 2.1 per cent and Nasdaq Composite by 1.3 per cent.
“When you talk about economies, our economy is far better than that. But we have actually—we’re paying interest. They weren’t. They were using funny money. But I think the Fed is far too stringent, and they’re making a mistake and it’s not right. Despite that, we’re doing very well but it’s not necessary, in my opinion. I think I know about it,” he said.
The President said the markets were way up over what they were. “It’s a correction that I think is caused by the Federal Reserve with interest rates. The dollar has become very strong, which, frankly, people can debate whether or not they like a strong dollar or not,” he said.