Larry Kudlow, White House top adviser wants the Federal Reserve to lower its interest rates. President Donald Trump’s confidant said that to news channel CNBC. He added that he and Trump would also like to see the American banks stop reducing its balance sheet.
The comments come just over a week after the Fed decided not to raise interest rates in the United States this year. With that, Trump and his friends seemed to have finally got their way. Earlier, the president repeatedly expressed strong criticism of the constant raising of interest rates, because he thought this would be bad for the economy.
Now it appears that the White House goes a step further in its rhetoric about monetary policy. Kudlow emphasized that his words should not be interpreted as an attack on the independence of the Fed.
“We all know that the Fed is independent,” he said.
According to Kudlow, this is purely an analysis of the current economic situation in the world. He further reiterated that Trump has no plans to replace Jerome Powell as president of the Fed.