Upscaling his criticisms further on Federal Reserve Chairman Jerome Powell, US President Donald Trump tweeted on Friday, the 23rd of July 2019, following a less-dovish than anticipated speech of Fed’s Powell at a Jackson Hole meet, asking who had been a bigger enemy to US economy, Federal Reserve Chairman, Jerome Powell or his Chinese counterpart Xi Jinping over the last onae year.
Trump’s Friday’s (August 23rd) bombardment follows a Powell speech at the Federal Reserve’s Jackson Hole conference where the Fed Chair left little clue on whether the US Central Bank would initiate a rancorous cycle of rate-cut as early as from next September.
Besides, instead of leaving a clue for the investors, Fed Chair had held on to his August’s FOMC minute’s speech saying the US Central Bank would execute whatever measures were required to shore up US economic recovery despite geo-political risks, some of them were directly linked to Trump’s tariff war with China.
Meanwhile, following Fed’s hawkish speech on Jackson Hole that drowned Friday’s Wall St. by more than 3 per cent, US President Donald Trump tweeted on Friday (August 23rd) saying, “My only question is, who is our bigger enemy, Jay Powel (sic) or Chairman Xi? As usual, the Fed did NOTHING!
” In point of fact, Trump had repeatedly criticized US Central Bank over the recent months for its hawkish rate-hiking policy despite a tariff war jolting US economy downwards. More critically, United States’ manufacturing activity had contracted on July for the first time since the era of great financial depression between 2007-2009.