Trump: Dow can be thousands of points higher if not for the Fed
President Trump again wagged his finger at the Federal Reserve Sunday, telling reporters that the Dow could be “5,000 to 10,000 points higher” if these on the central bank knew what they had been doing.
“If the Fed knew what it was doing, they might lower rates, and they might cease quantitative tightening,” Trump mentioned, referring to the Fed’s choice to begin reversing the stimulus it put in place after the 2008 financial disaster.
Trump briefly chatted with journalists before boarding Air Force One back to Washington late Sunday afternoon. His feedback served as a bookend to those he made in tweets Friday night as he was settling right into a weekend at his Bedminster, N.J. resort when he blasted the Federal Reserve for being the nation’s “most difficult problem.”
Last week, Trump announced two new picks for the Federal Reserve board after his initial decisions, Herman Cain and Stephen Moore, didn’t work out. Trump selected Christopher Waller, the chief vice chairman of the Federal Reserve Bank of St. Louis and Judy Shelton, an economic adviser to Trump’s 2016 campaign.
Moore gave Shelton high marks during an appearance on “The Cats Roundtable” radio show Sunday on AM 970 New York. “She’s one of the world’s experts on monetary policy. She thinks like … the president does – that the Fed has been way too tight,” Moore stated. “Incidentally, this is the opposite reason why I think we’ve seen a slight slowdown in the growth of the financial system, is because the Fed is strangling growth with a tightening of the money supply. Judy, I believe is going to be a breath of fresh air.”