Pres. Trump: I like negative rates

Ross J Burland FXStreet

US President Donald Trump says he likes native rates. There has been no reaction in the US dollar so far, as the market pays more attention to the Federal Reserve than the US government at this point.

Key comments

We should absolutely open schools

We have now surpassed 10 mln COVID-19 tests

Feels strongly we should have negative interest rates.

Disagrees with Fed on negative rates.

Powell has done a good job over the past few months.

Despite differences on negative rates, feel Powell's performance as Fed chair has improved.

The House stimulus bill is dead on arrival.

More to come...

ALL FOMC members against negative rates

Meanwhile, Fed's Powell's comments fulled a spike in the US dollar on Wednesday, further adding to the bearish case for AUD/USD. Powell noted that the FOMC's view on negative rates has not changed and reiterated that it's not something the Fed is looking at.

"The Fed intends to continue using tools it has already tried," Powell said in answer to questions at an event organized by the Peterson Institue for International Economics.

Previous minutes on negative rates debate

DXY update

US Dollar Index Asia Price Forecast: Greenback regains the 100.00 mark, bullish

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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