Most economists now believe the perplexing aggression earlier showed by the Fed’s recent rates hikes tapped the brakes on what was (and largely remains) a remarkably productive Trump economy that was benefitting nearly every economic sector in America. The president was quick to condemn the multiple rate hikes, and now, despite the far-left media whining that the Fed should not be influenced by President Trump’s opinion, the Federal Reserve has just cut interest rates by a quarter-point.
The Federal Reserve on Wednesday cut its benchmark interest rate for the first time since 2008, moving in a direction urged by President Donald Trump for over a year.
Fed officials voted eight to two Wednesday on the cut, which will bring the federal funds rate to a range between 2.0% and 2.25%, a quarter of a percentage point below the range set in December 2018. The Fed also said it would cease its balance sheet reduction immediately, two months earlier than it had signaled earlier.
Democrats fear the rate cut will bolster an already resilient Trump economy heading into the 2020 election cycle. It seems they would rather see a recession, and tens of millions of Americans suffering as a result, in order to defeat President Trump next year.